1. Extracts from the financial statements of Lucas SA for 2019 and 2020 are shown below. The firm also disclosed depreciation charges for the year amounting to 320m, and a gain of 25m from sale of property, plant & equipment that costed 450m. + Statement of Financial Position as at 31 December (m) 2020 2019 Cash 120 100 Inventory 1,200 880 Trade receivable 750 200 Current assets 2,070 1,180 Properly, plant and equipment (gross) 12,270 11,780 Accumulated depreciation (2,040) (1,960) Property, plant and equipment (net) 10,230 9,820 TOTAL ASSETS 12,300 11,000 Trade payables Interest payable Tax payable Dividends payable Current llabillties Long-term borrowings Non-current liabilities Share capital Retained earnings Total equity TOTAL LIABILITIES AND EQUITY 1,360 50 80 116 1,605 5,105 5,105 2,245 3,345 5,590 12,300 1,200 45 65 90 1.400 4.600 4,600 2,200 2,800 5.000 11,000 Income Statement for the 12 months ending 31 December (Em) 2020 Revenue 16,500 Cost of sales (12.900) Gross profit 3,600 Other income 50 Other operating expenses (1,500) Profit before interest and tax 2,150 Finance expenses (204) Profit before tax 1,946 Tax expenses (584) Profit after tax 1,362 Required: (a) Work out cash flows from operating activities using the indirect method (starting with PBIT). (b) From the information provided work out the value of additions and disposals for property, plant & equipment and hence work out cash flows from investing activities. (c) From the information provided work out cash flows from financing activities and hence show that the statement of cash flows reconciles with changes in reported cash balances in the statement of financial position. AutoSave OF AAOO... 20BSA012-1-S2E - Compatibility Mode View Zotero Table Design Layout Tell me Home Insert Draw Design Layout References Mailings Review Share Comments Arial vvv v 21 1 IA v 12 ~ AF A A Aa A B B ! | v 40 x x ADAM Aalbcdef AalbCcDd AabhCode ABCcDdEt ABC de Normal Hardy That i Parigraph Nu Satin Tableau Paste Dictate Sensitivity Editor Styles Pane 1. Extracts from the financial statements of Lucas SA for 2018 and 2020 are shown below. Therim also disclosed depreciation charges for the year amounting to 320m, and again of 225m from eale of property, plant & equipment that costed 2450m. Statement of Financial Position as at 31 December (Em) 2020 Cash 120 Inventory 1,200 Trade receivable 750 Current assets 2,070 Property, plant and anumeria) 12,270 Accumulated depreciation (2,040) Property, plant and equipment (net) 10,230 ASSETS 12,300 2019 100 280 200 1,180 11.HD (1,961) 9,820 11.000 . ) Trade payables Interest payable Tax payable Dividers payable Current liabilities Long-term borrowings Non-current liabilities Stare capital Retained earnings Total equity TOTAL LIABILITIES AND EQUITY 1,360 50 HO 115 1,605 5,106 5,105 2,246 3,346 3,690 12,300 1.200 45 go 1,400 4 bilo 4.600 2200 2 400 6,000 11,000 Income Statement for the 12 months ending 31 December (Em) 2020 Revenue 16.500 Cost of sales (12,900) Gross profit 3,600 Other incoma 50 Other operating expenses (1,500) Profit before interest and tax 2.150 Finance expensee (204) Pront before tax 1,946 Tax expenses (584) Profit after tax 1.362 Required: (a) Work out cash flows from operating activities using the indirect method (starting with PBIT) b) From the information provided work out the value of additions and cisposals for property.plant & ecuipment and hence wark out cash flows from investing activities. icl From the information provided work out cash flows from financing activities and hence show that the statement of cash fons reconciles with changes in reported cash balances in the statement of financial position 263 words DE English (United Kingdom Focus 90%
