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Standard VII

Mathematics

Division of Integers

Net profit du...

Question

Net profit during the year Rs $5, 00, 000$
Depreciation in the beginning Rs $1, 50, 000$
Depreciation at the end Rs $2, 50, 000$
What is the amount of funds from operation?

5, 00, 000

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6, 00, 000

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4, 00, 000

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1, 00, 000

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Solution

The correct option is A Rs $6, 00, 000$
Calculation 0f Amount of funds from operation =
Net Profit + Closing Depreciation - Depreciation in the beginning
= 500000 + 250000 - 150000 = 600000

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Similar questions

Q. Given: Net profit during the year Rs. 1,00,000; Depreciation Rs. 20,000; Profit on sale of furniture Rs. 10,000; Loss on sale of machinery Rs. 30,000. What is the amount of funds from operations?

Q. When Gross Profit Rs.

5, 00, 000

, Wages Rs.

10, 000

, Cost of Goods sold Rs.

3, 00, 000

, Rent paid Rs.

25, 000

, Salaries paid Rs.

1, 00, 000

, Commission be allowed Rs.

3, 000

, Discount allowed Rs.

2, 000

, Provision for doubtful debts Rs.

5, 000

, Provision for legal damages Rs.

3, 000

, Provision for taxation Rs.

1, 50, 000

, Provision for depreciation Rs.

50, 000

and Refund of tax Rs.

2, 000

, then the amount of funds from operations is __________.

Q. Goodwill of the firm is valued at Rs.

5, 00, 000

2

years purchase of average profit. Determine the missing value.
Total Profits

= R s . 2, 50, 000 + . . . . . + R s . 3, 00, 000 - R s . 1, 00, 000 + R s . 3, 50, 000 = R s . . . .

Average Profit

= \frac{T o t a l P r o f i t s}{N u m b e r O f Y e a r s} = \frac{R s .}{5} =

Rs.
Goodwill

= R s . . . . . \times 2 = R s . 5, 00, 000

Calculate Cash Flow from Investing Activities from the following information:
$\begin{matrix} Particulars & 31st March, & 31st March, 2015 & 2014 Investment in shares of Miko. Ltd. & 18, 00, 000 & 8, 00, 000 12 % Long Term Investments & 1, 50, 000 & 5, 00, 000 Plant and Machinery & 6, 00, 000 & 4, 00, 000 Goodwill & 1, 20, 000 & 40, 000 \end{matrix}$
Additional Information:

(i) 9% dividend was received from Miko Ltd.
(ii) A machine costing Rs. 50,000 (depreciation provided thereon Rs. 15,000) was sold for Rs. 40,000. Depreciation charged during the year was Rs. 55,000.

Q. When funds from operations are Rs. 65,000 and depreciation on plant is Rs. 7,500, the amount of net profit

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Net profit during the year Rs5,00,000Depreciation in the beginning Rs1,50,000Depreciation at the end Rs2,50,000What is the amount of funds from operation?

The correct option is A Rs6,00,000Calculation 0f Amount of funds from operation = Net Profit + Closing Depreciation - Depreciation in the beginning = 500000 + 250000 - 150000 = 600000

Net profit during the year Rs $5, 00, 000$
Depreciation in the beginning Rs $1, 50, 000$
Depreciation at the end Rs $2, 50, 000$
What is the amount of funds from operation?

The correct option is A Rs $6, 00, 000$
Calculation 0f Amount of funds from operation =
Net Profit + Closing Depreciation - Depreciation in the beginning
= 500000 + 250000 - 150000 = 600000