Practical Problem 07
Following is the Balance Sheet of Sakshi Traders for the year ended 31.3.17 and 31.3.18
Liabilities | 31.3.17 (₹) | 31.3.18 (₹) | Assets | 31.3.17 (₹) | 31.3.18 (₹) |
Equity Share Capital | 80,000 | 80,000 | Fixed Assets | 1,20,000 | 1,44,000 |
Pref. Share Capita | 20,000 | 20,000 | Investment | 20,000 | 20,000 |
Reserve & Surplus | 20,000 | 24,000 | Current Assets | 60,000 | 48,000 |
Secured Loan | 40,000 | 16,000 | |||
Unsecured Loan | 20,000 | 36,000 | |||
Current Liabilities | 20,000 | 36,000 | |||
2,00,000 | 2,12,000 | 2,00,000 | 2,12,000 |
Prepare common-size Balance Sheet for the year 31.3.17 and 31.3.18
SOLUTION:
Common Size Statement of Balance Sheet of Sakshi Traders as on 31st March 2017 and 31st March 2018 | ||||
Particulars | Amount (₹) | % to total of Balance Sheet | ||
31 – 03 – 2017 (₹) | 31 – 03 – 2018 (₹) | 31 – 03 – 2017 (₹) | 31 – 03 – 2018 (₹) | |
I. Sources of Funds : | ||||
(1) Owner’s Equity | ||||
Equity Share Capital | 80,000 | 80,000 | 44.45 | 45.45 |
Preference Shares Capital | 20,000 | 20,000 | 11.11 | 11.36 |
Reserve and Surplus | 20,000 | 24,000 | 11.11 | 13.64 |
Net Worth | 1,20,000 | 1,24,000 | 66.67 | 70.45 |
(2) Borrowed Funds | ||||
Secured Loans | 40,000 | 16,000 | 22.22 | 9.09 |
Unsecured Loans | 20,000 | 36,000 | 11.11 | 20.46 |
60,000 | 52,000 | 33.33 | 29.55 | |
Total Borrowed Funds | 1,80,000 | 1,76,000 | 100 | 100 |
II. Application of Funds | ||||
(1) Fixed Assets | 1,20,000 | 1,44,000 | 66.67 | 81.82 |
(2) Investments | 20,000 | 20,000 | 11.11 | 11.36 |
1,40,000 | 1,64,000 | 77.78 | 93.18 | |
(3) Working Capital | ||||
(A) Current Assets | 60,000 | 48,000 | – | – |
Less : (B) Current Liabilities | 20,000 | 36,000 | – | – |
40,000 | 12,000 | 22.22 | 6.82 | |
Total Funds Applied | 1,80,000 | 1,76,000 | 100 | 100 |