[Music] [Music] welcome students we are in the process of preparing the cash flow statement and we are doing the analysis of different items that is inflows and outflows so we are now will be talking about the debt we are discussing the fixed assets and next thing is will be doing the analysis off next part that is a third part in the eighth residue or the ninth sheduled will be saying that is the 9. 3 is the accumulated depreciation analysis off analysis off accumulated depreciation so if you take the depreciation figure here natural ax basic cash flow statement what is the difference in the accumulated depreciation here this is 53 and it has become seventy two point seventy two point five so you can call it as the say accumulated depreciation as per basic cash flow statement as for basic cash flow statement is how much that is nineteen point five and then we have to add the depreciation add add depreciation on fixed assets sold we have sold a part of the fixed asset also and the depreciation on that was how much three so it is total depreciation is twenty two point five lakhs total depreciation is twenty two point five lakhs so it means when you talk about the total cash flow that is our total inflow is the temperature on account of depreciation the cash inflow is how much the cash inflow is twenty two point five lakhs on account of depreciation and this is operating cash inflow that will be taking into account the operating cash inflow so this is the one more point of analysis we have taken into account and you have adjusted for the depreciation also and now the I think of one or two and items are left with us and after that we'll be moving to preparing the preparation of the final cash flow statements but here one more item we have to talk about here is that is if you talk about the Knowles figure that is 5. 5 so it has raised so if you talk about the but we were talking about the balance of the amount of the loans so increase in the loan amount is during the Ares 5 so if you talk about we have discussed that total amount of the loans and everything it means our analysis of almost all items is over only two items are left one item is the investments and the other items is the miscellaneous expenditure so now we'll go further and I'll show the next item and this is the item number 10 note number 10 that is the analysis of analysis of investments analysis of investments if we talk about the analysis of investments opening balances how much opening balances one zero five lakhs and a purchase during the year is there any investment purchase jewelry there let's check for that say a long-term investment someone to do 40 lakhs well for change during the year so we will add it up add for taste add purchased during the heiress 14 lakhs so total balance becomes 119 lakhs total investments total investments are 119 lakhs less closing balance closing balance of investments is how much 99 lakhs it means now the cash inflow from investments is how much it is 20 lakhs cash both rupees 20 lakhs has flown in on account of investment so you can call it as you will have to count for this this is cash outflow this is cash outflow and this is the cash inflow so both outflow and inflow have taken place under the investments so it means you call it s that is the 14 lakhs that is cash outflow on account of investing activities and then we'll have to talk about 20 lakhs that is that inflow on account of the investing activities we'll have to take that into account both these inflows and outflows will have to take this into account so this is the balance this is a figure and this is the 20 lakhs so we have that with one more item and now we'll talk about the last item and that item is we are going to talk about the miscellaneous expenditure that is a note number 11 and that is miscellaneous expenditure note 11 is the miscellaneous expenditure so we'll see what is the balance of miscellaneous expenditure we will try to find out here the miscellaneous expenditure yes net current assets miscellaneous explain each of the opening balances file opening balances that is 5 expenditure miscellaneous expenditure incurred during the air during the year is how much we'll see we'll have to add it total that shows that expenditure incurred during the air is miscellaneous expenditure incurred during the air is 15 laps so total is total miscellaneous Expo neat Charis that is 20 lakhs right and what is the closing balance or the facilities expenditure let's check in the gas it is 16 lakhs so less closing balance less closing balance and this is 16 lakhs so cash outflow on account under miscellaneous expenditures the that is only 4 lakhs cash so miscellaneous expenditure miscellaneous expenditure in cash in the ear is only four lakhs and this is the four lakhs on account of the miscellaneous expenditure this is the cash outflow and this is operating outflow miscellaneous expenditure is the operating outflow of the cash so it means and this is also a 15 is also operating 15 is also operating cash so we paid for for the previous end 2015 be incorrect now so cash outflow again here on account of the miscellaneous expenditure and this is also a miscellaneous expenditure so it means total amount is de this is outflow and this is on account of the operation so this is the cash outflow to cash outflows are there one cash outflow is on account of the say when we have incurred the fresh expenditure cash outflow that is 15 lakhs and then the miscellaneous expenditure written off during the air is 4 lakhs so it means miscellaneous expenditure we have now the balance is 16 lakhs so it means closing balances the 16 lakhs which means the total expedition became opening balance was 5 then incurred during the air this one Mussolini sex with each other incurred during the air is this was written here miscellaneous a furniture I want to into rupees for next was incurred during the air is 20 so cashes out flown here this is the cash outflow and here this is ash in flow so four lakh is the inflow and 15 is the outflow so current expenditure incurred misogyny sex money trading card cash outro was 15 lakhs and recovered was because we recovered it by debiting that miscellaneous expenditure in the profit and loss account by following the process of a monetization so we have recovered that so it means influence 4 lakhs and outflow is the 50 lakhs both in fro and out flow have taken place so now you see that for preparing that know where we are if you look at these balances we have that these balances available here and then we are ready for preparing the final cash flow statement and here you see that we have the balances of share capital tax dividend then dividend tax then interest their seats interest paid then we talk about the loans then we talk about the fixed assets we talk about the say depreciation then we talk about the say accumulated appreciation and we talk about the other items is on account of investments then we talk about the say again the investments and then we talk about the miscellaneous expenditure so once this all is taken into account let's move forward for preparing the final cash flow statements quickly and then we will be knowing that how that cash flow statement is showing the balance of cash from both the operating investing and financing activities so that will be now the last step for us and now items some will be taking will be taken from the balance we directly and some items will be taken from the say this analysis here and finally will be arriving will be checking so we will call it as that final cash flow statement final cash flow statement of skyline India of skyline India and in this case we'll be taking into account all the items so we will start here cash flow from operating activities cash flow from operating activities this is the first item and here we will start with the first item that is the net profitable for extraordinary incomes and tax net profit before extraordinary incomes and texts and that is how much is the net profit and that is one sixty seven point five they'll have to start from here profit before tax and extraordinary items this is one 67.
5 lakhs this is not one item add or less it will be some time adding or making less we don't add in frozen then outflows we say put all the items together where it is a positive item we put it open and when it's a negative item we will put it in the bracket so a doubly class we will be doing so it will be or you can call it as or adjustments so we'll have to do the adjustments so now in this case from this operating we have included two incomes that is interest income and dividend income we have to subtract that so now interest income because interest income is that we call it as investing income so interest income how much is that is given in the profit and loss account if you check the profit and loss account that is given there top that is 15 lakhs we will have to subtract then is the dividend income and we will have to again subtract that and if you take that into account this is 10 lakhs we will have to subtract it you have to put it in the bracket so we are subtracting it then next item is the anything is there operating share capital no tax is yes will be taking it at the end but dividend is no than dividend taxes no and then we talk about the interest received and paid and then known and then it is done say fixed asset investing fixed asset is that is the operating yeah that is that will be talking about the fixed asset that is 7. 25 will be taking into consideration so going to have to take here is the total items and what are the other things now will have to take here that is the interest expense interest expense is how much interest expense we have already calculated and if you look at the interest expense here so we'll be talking about the interest that is operating part interest expense if you take here that is 7. 25 this is an trust expense we have to take care this operating part interest expense and this is 7.
25 we have proof ad back then we'll subtract during the financing process so we have to add it back then we have to deficit on the sale of excessive deficit on sale of fixed assets how much that deficit was the position on the sale of fixed asset is 25 thousands we'll have to add back because remember recovered it from the profit and loss account so it's the inflow and then we will be talking about the depreciation yes depreciation is another part and if you talk about the depreciation then depreciation amount is how much that is going to be 22. 5 we have already calculated 22. 5 we have taken this into account then we talked about the miscellaneous expenditure written off miss lilly sex money - written off is how much is the 4 lakhs miscellaneous furniture is afford lights we already calculated and then so it means we have made the adjustments for the income also dividend income is subtracted deficit on the fixed assets sold depreciation we have taken miscellaneous expenditures we have taken now we'll take the extraordinary incomes extra ordinary incomes how much is that income next ordinary income is 9 lakhs and then is the facilities expenditure incurred miscellaneous expenditure incurred so on this it was inflow also on the outflow also so if you take this this amount is how much miscellaneous expenditure incurred is 15 lakhs so this is outflow so we will be taking this as our clue is the total so it means this is the operating profit operating profit before working capital changes is how much if you are just all these items you will be able to find out that this this balance works out as 170 0.
5 170 point 5 is the balance that is operating profit before working capital changes is 170 point 5 lakhs 175 lakhs that's operating profit for the from now I'll be continuing with that say adjustment for working capital changes add or less working capital changes we can write here so we will first take that if we talk about the working capital part we'll go to the balance sheet and on account of this what is inflow and outflow that is the operating part so we'll be starting with the first item that is inventories so inventories have come down so it will be first item inventories so inventories have come down from say a 78 to 28 so we'll be taking that is the decrease in inventory that is by 50 so it is inventory is 50 so it is the inflow of the first yes decrease in the inventories inflow of the funds then we will talk about the sundry letters and read addresses the outflow and the outflow is income or how much that is 12. 5 sundry debtors if you take this is outflow that is 12. 5 this is a suddenly debtors we have taken into account that will go for the cash and bank balance is no interest receivable yes it just receivable is we have already taken that into account interest receivable so that is not to be counted here because interest receivable is not an investing income so we'll be taking their that into account so we have taken the sundry debtors and we will be talking about the next item now that is the creditors so creditors have come down 94.
5 to 16. 5 so we have paired them to the extent of 78 lakhs so it is sundry creditors that is when you talk about the sundry creditors it is 78 lakhs sundry credit IRB's are 78 lakhs so finally if you talk about if you adjust everything here you say that is the cash you'll see here you'll find it out we can remove this item miss these items here so you'll find here that the cash generated from the operations is how much will continue the statement here cash generated from operations cash generated cash generated from operations is how much if a total it up it works out as 170 and then sundry creditors we have paid so it means it is a negative figure the Sun detectors we have increased so we have invested more it means it's a outflow so total is you add it up this works out as - twenty - twenty - say roughly how much is ninety point five so the balance works out as that is one hundred and thirty three lakhs this is the cash generated from operations that is one hundred and thirty three lakhs so in this total cash coming from operations you will have to subtract that some other items and these other one item is that is the you can call it as a corporate tax paid corporate tax paid and we have a calculator to the corporate expert how much is the corporate expert here we had found out and that was 53 laps because we have shown the total 55 lakhs who is paid on the behalf of skyline but somebody else who has given the interest so total is 53 lakhs which means cash from operations is zero and it is 80 lakhs so it is a cash from cash from operating activities cash from operating activities is it relax we have calculated that the cash from operating activities is now 80 lakhs if you talk about the other items here nothing is less left we have seen that the cash flow and if you talk about we have taken the profit and in this profit we have subtracted these two incomes that is on account of interest and dividend which was not from the operations so we subtracted because when you calculate this profit before text and external incomes you had added these incomes also so these incomes were not the operating income so we have to subtract them so we subtracted them here we have subtracted these two items here and then we have taken out er the other sources of the cash inflow and when you talk about the other sources of cash inflow then we have taken the interest component yes interest component we have taken into account then we have taken the deficit on the sale offer say this part is causing the inflow cash inflow and this is also causing the cash inflow that is the say remaining part of the asset which has been sold in the market for 7000 point seven-five so we have taken that into account so we have the say total amount of depreciation which is included in this so it is 0. 25 and 22 5 is on account of depreciation cash inflow is coming in and then we talk about the interest we have taken deficit we have taken yes miscellaneous expenditure is another item which is the inflow here we have taken into account we have shown as the inflow and then the outflow also was there because current expenditure was 15 and the outflow is in outflow is 15 and inflow is 4 so we have taken that into account and then we have gone to the working capital means nothing else is left here that means only takes part is left here so takes part because from operations we are talking about so text part is left here so we'll be taking that later on then we moved to the working capital changes so when you looked at the inventory we have taken that into account and from inventory we have seen that yes we have got the 50 lakhs of the cash sundry debtors have caused the outflow to the extent or 12.
