Cash Flow Statement (Indirect Method)
Built from TB: PAT + non-cash add-backs ± working-capital changes. Reconciles to opening + closing bank balance.
H2 FY2024-25 (Oct 2024-Mar 2025)
The business burned ₹249,613 of cash this period — bank + petty cash shrank by this amount.
Cash Reconciliation
Opening + Net CF = Closing · the identity that proves every ₹ is accounted for
Indirect Cash Flow — build-up from PAT
PAT → add back non-cash items → adjust for working capital → Net Cash from Operating
| Profit After Tax (PAT) | −₹409,601 |
| ＋Depreciation (non-cash) | +₹4,119 |
|
＋Provisions / Bad Debts / Write-offs (non-cash)
(Of which bad-debt/receivable write-off: 9,100.00 — subtracted from ΔReceivables below to avoid double-counting the Debtor-side reduction.)
|
+₹9,100 |
| ＋Interest / Finance Cost (reclassified to Financing) | +₹749 |
| = Operating profit before WC changes | −₹395,633 |
| −(Increase) / Decrease in Trade Receivables | −₹50,600 |
| ＋Increase / (Decrease) in Trade Payables | ₹323,964 |
| −(Increase) / Decrease in Tax Prepayments (TDS Recv / Advance Tax) | −₹86,998 |
| −Increase / (Decrease) in Duties & Taxes (aggregate) | −₹20,595 |
| = Cash generated from operations | −₹229,862 |
| Net Cash from Operating Activities | −₹229,862 |
| (Purchase) of Fixed Assets | −₹54,924 |
| Net Cash from Investing Activities | −₹54,924 |
| Capital introduced / PAT share — Prateek Agrawal | ₹107,996 |
| Profit & Loss A/c (current-year PAT sits here until appropriated) | ₹412,390 |
| Drawings / Capital withdrawn — Rahul Nathani | −₹64,603 |
| Capital introduced / PAT share — Sakshi Nathani Partner A/c | ₹49,806 |
| (No PAT adjustment — profit not yet appropriated) | ₹0 |
| − Interest on Borrowings paid | −₹749 |
| Net Cash from Financing Activities | ₹504,840 |
| Net Increase / (Decrease) in Cash | ₹220,054 |
Depreciation & other non-cash items are added back to PAT because they reduced profit on paper but never moved cash. Working-capital changes adjust for accruals — receivables increasing = cash we've billed but not received yet. Click Consultant view for per-ledger WC detail and Direct ↔ Indirect reconciliation.