Ochoa Group, had the following condensed statement of financial position at the end of operations for 2018

Question:

Ochoa Group, had the following condensed statement of financial position at the end of operations for 2018 (¥ in thousands).

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During 2019, the following occurred.

1. A tract of land was purchased for ¥11,000.

2. Bonds payable in the amount of ¥20,000 were retired at par.

3. An additional ¥10,000 in ordinary shares were issued at par.

4. Dividends totaling ¥9,375 were paid to shareholders.

5. Net income was ¥30,250 after deducting depreciation of ¥13,500.

6. Land was purchased through the issuance of ¥22,500 in bonds.

7. Ochoa Group sold part of its investment portfolio for ¥12,875. This transaction resulted in a gain of ¥2,000 for the company. The company classifies them as non-trading equity investments.

8. Both current assets (other than cash) and current liabilities remained at the same amount.


Instructions

a. Prepare a statement of cash flows for 2019 using the indirect method.

b. Prepare the condensed statement of financial position for Ochoa Group as it would appear at December 31, 2019.

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Related Book For  book-img-for-question

Intermediate Accounting IFRS

ISBN: 978-1119372936

3rd edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

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