Question
(10 marks) Selected financial information of Traduce Ltd. at December 31 is presented below: 2018 2017 Current Liabilities Dividends payable $ 4,000 $ 2,000 Current
(10 marks) Selected financial information of Traduce Ltd. at December 31 is presented below:
|
| 2018 | 2017 |
| Current Liabilities |
|
|
| Dividends payable | $ 4,000 | $ 2,000 |
| Current portion of bank loan | 10,000 | 8,000 |
| Noncurrent Liabilities |
|
|
| Bank loan payable | 110,000 | 96,000 |
| Shareholders equity |
|
|
| Common shares | $242,000 | $206,000 |
| R/E | 144,000 | 114,000 |
During the year, Traduce had a net income of $54,000. It received bank loans of $34,000 and repaid others. The company issued new common shares.
Required:
What was the amount of the bank loan repayment? (3 marks)
Prepare the CFF section of the cash flow statement for 2018. (7 marks)
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Entrepreneurial Finance
Authors: J. Chris Leach, Ronald W. Melicher
7th Edition
0357442040, 978-0357442043
