MCQ for CA Final FR - Chapter 3 Ind AS 7 : Cash Flow Statement

Sample Multiple Choice Questions (MCQ's) for CA Final - Paper 1 - Financial Reporting - Chapter 3: INDIAN ACCOUNTING STANDARD 2 & 16 : Inventories, & Property, Plant and Equipment - For Practice relevant for May/Nov 23 Examinations

 

Q:1 An entity has bank balance in foreign currency aggregating to USD 100 (equivalent to`4,500)at the beginning of the year. Presuming no other transaction taking place, the entity reported a profit before tax of`100 on account of exchange gain on the bank balance in foreign currency at the end of the year. What would be the closing cash and cash equivalents as per the balance sheet?

 

  1. 4700
  2. 4500
  3. 3500
  4. 5200

Answer: 2

 

Q:2 During the financial year 2019-2020, Akola Limited have paid various taxes & reproduced the below mentioned records for your perusal:
-Capital gain tax of`20 crore on sale of office premises at a sale consideration of `100 crore.
-Income Tax of` 3 crore on Business profits amounting `30 crore (assume entire business profit as cash profit).
-Dividend Distribution Tax of `2 crore on payment of dividend amounting `20 crore to its shareholders.
-Income tax Refund of ` 1.5crore (Refund on taxes paid in earlier periods for business profits) 
You need to determine the total cash flow from operating activities, investing activities and financing activities of Akola Limited as per relevant Ind AS

 

  1. 80.3
  2. 87.7
  3. 86.5
  4. 88.0

Answer: 3

 

Q:3 During the financial year 2019-2020, Akola Limited have paid various taxes & reproduced the below mentioned records for your perusal:
-Capital gain tax of `20 crore on sale of office premises at a sale consideration of `100 crore.
-Income Tax of `3 crore on Business profits amounting`30 crore (assume entire business profit as cash profit).
-Dividend Distribution Tax of`2crore on payment of dividend amounting`20crore to its shareholders.
-Income tax Refund of`1.5crore (Refund on taxes paid in earlier periods for business profits)
Determine the net cash flow from operating activities

 

  1. 20.5
  2. 28.5
  3. 30
  4. 25.5

Answer: 2

 
Q:4 During the financial year 2019-2020, Akola Limited have paid various taxes & reproduced the below mentioned records for your perusal:
-Capital gain tax of `20 crore on sale of office premises at a sale consideration of `100 crore.
-Income Tax of `3 crore on Business profits amounting`30 crore (assume entire business profit as cash profit).
-Dividend Distribution Tax of`2crore on payment of dividend amounting`20crore to its shareholders.
-Income tax Refund of`1.5crore (Refund on taxes paid in earlier periods for business profits)
Calculate Cashflow from Investing activities

 

  1. 50
  2. 55
  3. 70
  4. 80

Answer: 4

 

Q:5 During the financial year 2019-2020, Akola Limited have paid various taxes & reproduced the below mentioned records for your perusal:
-Capital gain tax of `20 crore on sale of office premises at a sale consideration of `100 crore.
-Income Tax of `3 crore on Business profits amounting`30 crore (assume entire business profit as cash profit).
-Dividend Distribution Tax of`2crore on payment of dividend amounting`20crore to its shareholders.
-Income tax Refund of`1.5crore (Refund on taxes paid in earlier periods for business profits)
Calculate cashflow from Financial activities

 

  1. (25)
  2. (21)
  3. (22)
  4. (32)

Answer: 3

CA Final - Paper 1 - FR - Chapter 4   

 

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