Practical Problem 02
SOLUTION:
Balance Sheet As on 31st March 2018 and 31st March 2019
Comparative Balance Sheet of Alpha Limited as on 31st March, 2018 and 31st March, 2019
Particulars | 31 – 03 – 2018 (₹) | 31 – 03 – 2019 (₹) | Absolute Change (₹) | % Change | |
I. Sources of Funds | |||||
(a) Equity Share Capital | 2,00,000 | 2,50,000 | 50,000 | 25 % Increase | |
(b) 12 % Preference Shares | 80,000 | 80,000 | – | – | |
(c) Reserve and Surplus | 1,00,000 | 1,40,000 | 40,000 | 40 % Increase | |
(A) Net Worth | 3,80,000 | 4,70,000 | 90,000 | 23.68 % Increase | |
Borrowed Funds | |||||
Secured Loan – 15 % Debentures | 60,000 | 51,000 | (9,000) | (15 %) Decrease | |
(B) Total Borrowed Funds | 60,000 | 51,000 | (9,000) | (15 %) Decrease | |
Total Funds Available (A + B) | 4,40,000 | 5,21,000 | 81,000 | 18.41 % Increase | |
II. Application of Funds | |||||
A. Fixed Assets – Land | 80,000 | 1,00,000 | 20,000 | 25 % Increase | |
Building | 60,000 | 90,000 | 30,000 | 50 % Increase | |
Plant and Machinery | 73,000 | 1,73,000 | 1,00,000 | 137 % Increase | |
2,13,000 | 3,63,000 | 1,50,000 | 70.42 % Increase | ||
I. B. Working Capital | |||||
Current Assets – Stock | 1,50,000 | 1,10,000 | (40,000) | (26.67) % Decrease | |
Debtors | 1,28,000 | 1,40,000 | 12,000 | 9.375 % Increase | |
Bank | 34,000 | 37,000 | 3,000 | 8.82 % Increase | |
Less : Current Liabilities | |||||
Creditors | 50,000 | 80,000 | 30,000 | 60 % Increase | |
Bills Payable | 10,000 | 6,000 | (4,000) | (40 %) Decrease | |
Provision for Taxation | 25,000 | 43,000 | 18,000 | 72 % Increase | |
Working Capital | |||||
(Current Assets – Current Liabilities) | 2,27,000 | 1,58,000 | (69,000) | (30.40 %) Decrease | |
Total Funds Applied (A + B) | 4,40,000 | 5,21,000 | 81,000 | 18.41 % Increase | |