From the following Balance Sheet as at 31st March, 2019 and Statement of Profit and Loss for the year ended 31st March, 2019 of RSB Ltd. and additional information, prepare Cash Flow Statement: Particulars Note No. 31st March, 2019 (₹) 31st March, 2018 (₹) I. EQUITY AND LIABILITIES 1. Shareholders' Funds (a) Share Capital 7,50,000 5,00,000 (b) Reserves and Surplus 1 9,50,000 3,00,000 2. Non-Current Liabilities Long-term Borrowings (5% Debentures) 7,00,000 4,00,000 3. Current Liabilities (a) Trade Payables 1,10,000 90,000 (b) Other Current Liabilities 2 39,000 25,000 (c) Short-term Provisions (Provision for Tax) 2,60,000 2,25,000 Total 28,09,000 15,40,000 II. ASSETS 1. Non-Current Assets (a) Fixed Assets – Tangible 3 6,85,000 7,45,000 (b) Non-current Investments 7,50,000 2,50,000 2. Current Assets (a) Current Investments 6,74,000 95,000 (b) Inventories 1,00,000 2,00,000 (c) Trade Receivables 4,00,000 1,50,000 (d) Cash and Cash Equivalents 2,00,000 1,00,000 Total 28,09,000 15,40,000 STATEMENT OF PROFIT AND LOSS for the year ended 31st March, 2019 Particulars Note No. 31st March, 2019 (₹) 31st March, 2018 (₹) I. Revenue from Operations 4 40,00,000 35,00,000 II. Other Income 5 35,000 30,000 III. Total Revenue (I + II) 40,35,000 35,30,000 IV. Expenses: Purchases of Stock-in-Trade 27,00,000 24,70,000 Change in Inventories of Stock-in-Trade 6 1,00,000 50,000 Finance Cost 27,500 20,000 Depreciation 40,000 45,000 Other Expenses 22,500 20,000 Total Expenses 28,90,000 26,05,000 V. Profit before Tax (III – IV) 11,45,000 9,25,000 VI. Less: Tax 3,45,000 2,25,000 VII. Profit after Tax (V – VI) 8,00,000 7,00,000 Notes to Accounts Particular 31st March 2019 (₹) 31st March 2018 (₹) 1. Reserves and Surplus Debenture Redemption Reserve 1,00,000 1,00,000 Surplus, i.e., Balance in Statement of Profit and Loss 8,50,000 2,00,000 9,50,000 3,00,000 2. Other Current Liabilities Interest on Debentures 35,000 20,000 Outstanding Expenses 4,000 5,000 39,000 25,000 3. Fixed Assets–Tangible Cost 8,90,000 9,90,000 Less: Accumulated Depreciation 2,05,000 2,45,000 6,85,000 7,45,000 4. Revenue from Operations Sales 42,00,000 35,75,000 Less: Sales Return 2,00,000 75,000 40,00,000 35,00,000 5. Other Income Interest on Deposits 15,000 12,500 Dividend on Investments 10,000 17,500 Gain (Profit) on Sale of Fixed Assets 10,000 … 35,000 30,000 6. Change in Inventories of Stock-in-Trade Opening Stock 2,00,000 2,50,000 Less: Closing Stock 1,00,000 2,00,000 1,00,000 50,000 Additional Information: Additional debentures were issued on 1st October, 2018 of ₹5,00,000. On the same date, part of outstanding debentures were redeemed and interest was paid, whereas interest on outstanding debentures was paid on 10th April, 2019. Board of Directors proposed dividend in both the years 10%. Interim Dividend of ₹ 1,00,000 was paid during the year. A fixed asset with original cost of 1,00,000, on which depreciation till date was provided of ₹ 80,000 was sold at a profit of ₹ 10,000.