o Startedbusinesswithcapital=100000

o 12%Loan=50000
o Purchasedgoodsforcash=75000
o Soldgoods=200000oncredit

o Expensesduenotpaid=30000
o Interestpaid=6000
o Purchasedplanforcash=50000
o Depreciationonplant=5000
o Tax=30%paid

BS
Capital

IS
100000

sales

CFS
200000

capita;l

loan

50000

OS Expe

30000

Cogs

75000

AP

58800

expense

30000

OS Tax

25200

interest

6000

plant

50000

dep

5000

Stock

75000

264000
Goods
Debtors
Plant
cih

loan

100000 CFF

0
200000

116000
profit

84000

45000

Tax

25200

19000
264000

PAT

58800

50000 CFI
150000 CFO

interest

tax

6000

0
131000

CIT

19000

Indirect method
144000

PAT

-50000

Add

-75000

Dep

58800

Direct method
Sales
Less

5000

Payments

OS Tax

25200

Stock pur

OS expse

30000

interest

6000

Less
Sales

-200000
-75000

75000
-75000

BS
Started business with cash
10 Loan take
purchased Plant for cash
Purchased stock for cash
expenses paid
sold all stock on credit
Dep
interest paid
tax

100000
50000
20000
50000
20000
100000
10000
5000
30%

IS

capital
loan
Rserves

100000
50000
10500
160500

Plant
stock
Debtors
CIH

10000
0
100000
50500
160500

sales
Expenses
COGS
dep
interest

PBT
Tax
PAT

IS

CFS
100000
20000
50000
10000
5000
85000
15000
4500
10500

capital
loan
Plant
stock
expenses
sales
interest
tax

CIH

100000
50000
150000
20000
50000
20000
0
5000
4500
99500
50500

CFF

CFS
145000

CFI

-20000

CFO

-74500
50500

Indirect method of determining CFO

PAT
Add
Dep
Interest
less
Credit sales

Direct method of determining CFO

Receipts
payments
Stock
Expense
tax

d of determining CFO
10500
10000 non cash
5000 non operating
-100000 Change in WC
-74500
of determining CFO
0
50000
20000
4500
-74500

Started business with cash

10 Loan take
purchased Plant for cash
Purchased stock for cash
expenses paid
sold all stock on credit
Dep
interest paid
Tax paid

100000
50000
20000
50000
20000
100000
10000
5000
30%

BS
capial

IS
100000

loan

50000

RetPRofit

10500
160500

Plant

10000

stock

Debtors

100000

CIH

50500
160500

sales
COGS
expenses
dep
interesgt
PBT
Tax
PAT

IS

CFS
100000

capital
loan

50000

Indirect method of CFO

100000
50000 CFF

145000

150000

20000

plant

20000 CFI

10000

stock

50000

exp

20000 CFO

5000

PAT

85000

interes

15000
4500
10500

tax
CIH

Add
Dep

-20000

interest
less

-74500

Sales

5000
4500
99500
50500

50500
Direct Method CFO
Receipts
less payments
Stock purc
expenm
tax paid

method of CFO
10500
10000 non cash
5000 non oper
-100000 change CA
-74500
Method CFO
0
50000
20000
4500
-74500