Question

From the following information extracted from the Balance Sheets of Sunny Weather Ltd., prepare a statement of changes in working capital:

Liabilities	2014	2015	Assets	2014	2015
Capital	40,000	50,000	Cash	6,000	9,400
Profit & Loss Account	2,000	4,600	Debtors	24,000	23,000
Creditors	14,000	9,000	Land	10,000	13,200
			Stock	16,000	18,000
	56,000	63,600		56,000	63,600

 

Answer 1

STATEMENT OF CHANGES IN WORKING CAPITAL

Net Increase in Working Capital :Rs. 9,400