Brian Ridge Ltd, a construction company, has extracted the following cash flows from its books as at 30 November 2005.

Required: Prepare a cash flow statement using the indirect method. The operating profit has already been adjusted for the interest paid and received (so do not adjust again!).

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Operating profit 25,000 Interest paid 500 Increase in stock over year 3,500 Increase in long-term creditors 4,600 Increase in debtors over year 1,300 Purchase of plant and 18,350 Increase in creditors over year 800 machinery Depreciation for year 6,000 Share capital issued 3,200 Tax paid 23,500 Dividends paid 550 Interest received 3,000 Purchase of patents 1,650