In recent years, Twist plc (“Twist”) has pursued an aggressive acquisition policy in order to expand its business. On 1 June 2017, Twist purchased all of the ordinary share capital of Shout Limited (“Shout”), acquiring the following net assets:

The consolidated statement of profit or loss and other comprehensive income of Twist for the year ended 31 December 2017 and the statement of financial position as at that date are shown below.

Since acquisition, Shout has contributed €600 million to the group's net operating cash flow, paid €7 million in respect of investing activities and used €15 million for financing activities.

Goodwill was impaired by €300 million during the year ended 31 December 2017. Patents are amortised over the shorter of the anticipated period of profitable exploitation and the period to the expiry of the right.

During the year ended 31 December 2017, €100 million was debited to equity in respect of dividends.
Requirement In accordance with IAS 7 Statement of Cash Flows, prepare each of the following for Twist plc in respect of the year ended 31 December 2017:

(a) A consolidated statement of cash flows.

(b) A reconciliation of operating profit to net cash flow from operating activities.

(c) Outline the disclosures that are required for the purchase of subsidiary undertakings, in accordance with IAS 7 Statement of Cash Flows, in respect of the acquisition of Shout by Twist during the year ended 31 December 2017.

(d) Calculate the basic earnings per share for the year ended 31 December 2017 for Twist in accordance with IAS 33 Earnings per Share.

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Property, plant and equipment Inventory Trade receivables Cash at bank and in hand Bank overdraft Trade payables Medium-term loans million 2,100 950 1,600 10 (18) (1,300) (842) 2,500 Consideration was satisfied by: Shares allotted Cash 800 2,200 3,000