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Determine cash from operating activities from the following information Profit during the year was ₹3,70,000.
Question

Determine cash from operating activities from the following information

Profit during the year was ₹3,70,000.

A.

₹3,50,000

B.

₹3,90,000

C.

₹3,30,000

D.

₹2,30,000

Correct option is A

Cash from operating activities = Net Profit – Increase in inventory + Increase in Trade Payables
Cash from operating activities = ₹3,70,000-₹30,000+₹10,000=₹3,50,000

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