From the following, calculate cash flow from financing activities.

On 1^st Oct. 2021, the company repaid a loan of ₹1,00,000.

₹38,000

The correct answer is Option (3) → ₹38,000.

Loan at starting of the year = ₹200000
Loan repaid = ₹100000 means outflow of cash.
Remaining loan after repayment = 200000 - 100000
                                               = ₹100000

Loan at the end of the year = ₹250000
Loan increased = 250000 - 100000
                       = ₹150000 means inflow of cash.

Interest upto 1st oct  = 200000 x 8/100 x 6/12
                               = ₹8000 (outflow of cash)

Interest upto 31st march on remaining loan amount = 100000 x 8/100 x 6/12
                                                                           = ₹4000 (outflow of cash)

Cash flow from financing activity = loan increased(inflow) - loan repaid(outflow) - interest(outflow)
                                                = 150000 - 100000 - 8000 - 4000
                                                = 38000