X Ltd had the following balances : Investment at the end of 2012 ₹ 34,000 Investment at the end of 2013…

The cost of investments sold during the year is $40\% \times 34{,}000 = \text{₹ } 13{,}600$, leaving a balance of $34{,}000 - 13{,}600 = \text{₹ } 20{,}400$. Since the closing investment balance at the end of 2013 is ₹ 28,000, new investments purchased during the year (representing an outflow or use of cash) equal $28{,}000 - 20{,}400 = \text{₹ } 7{,}600$.