Q18. (Net Income & Basic Cash Flow Statement with Cash Dividend & Stock Dividend): The following are the comparative Balance Sheets of Pak Arab Ltd. Debit Balances 31-12-2018 57,500 62,500 99,000 92,500 20,000 10,000 341,500 31-12-2018 315,000 252,000 420,000 840,000 210,000 304,500 2,341,500 31-12-2019 220,500 434,000 322,000 682,500 682,500 178,500 2,520,000 31-12-2019 253,750 334,250 210,000 1,050,000 262,500 409,500 2,520,000 Cash Accounts Recelvable (Net) Merchandise Inventory Plant (Net) Land Goodwill Total Credit Balances Accounts Payable Accrued Expenses Bonds Payable Ordinary Share Capital Share Premium Retained Earnings Total At the end of 2019, declared and paid Cash Dividend Rs. 157,500 and Stock Dividend Rs. 262,500. REQUIRED: 1. Computation of Net Income. 2. Cash Flow Statement.
Q18. (Net Income & Basic Cash Flow Statement with Cash Dividend & Stock Dividend): The following are the comparative Balance Sheets of Pak Arab Ltd. Debit Balances 31-12-2018 57,500 62,500 99,000 92,500 20,000 10,000 341,500 31-12-2018 315,000 252,000 420,000 840,000 210,000 304,500 2,341,500 31-12-2019 220,500 434,000 322,000 682,500 682,500 178,500 2,520,000 31-12-2019 253,750 334,250 210,000 1,050,000 262,500 409,500 2,520,000 Cash Accounts Recelvable (Net) Merchandise Inventory Plant (Net) Land Goodwill Total Credit Balances Accounts Payable Accrued Expenses Bonds Payable Ordinary Share Capital Share Premium Retained Earnings Total At the end of 2019, declared and paid Cash Dividend Rs. 157,500 and Stock Dividend Rs. 262,500. REQUIRED: 1. Computation of Net Income. 2. Cash Flow Statement.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Q18. (Net Income & Basic Cash Flow Statement with Cash Dividend & Stock Dividend): The following
are the comparative Balance Sheets of Pak Arab Ltd.
Debit Balances
31-12-2018
57,500
62,500
99,000
92,500
20,000
10,000
341,500
31-12-2018
315,000
252,000
420,000
840,000
210,000
304,500
2,341,500
Cash
Accounts Receivable (Net)
Merchandise Inventory
Plant (Net)
Land
Goodwill
Total
31-12-2019
220,500
434,000
322,000
682,500
682,500
178,500
2,520,000
Credit Balances
Accounts Payable
Accrued Expenses
Bonds Payable
Ordinary Share Capital
Share Premium
Retained Earnings
Total
31-12-2019
253,750
334,250
210,000
1,050,000
262,500
409,500
2,520,000
At the end of 2019, declared and paid Cash Dividend Rs. 157,500 and Stock Dividend Rs. 262,500.
REQUIRED:
2. Cash Flow Statement.
1.
Computation of Net Income.
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