3 (25 marks) The balance sheets of Supermart Limited for the years ended 31/3/2022 and 31/3/2021 are given below: 31/3/2022 31/3/2021 Assets $ $ Land 4,750,000 2,500,000 Building 4,000,000 3,750,000 Accumulated depreciation -300,000 Plant and Equipment 2,085,000 1,841,250 Less Accumulated depreciation Plant & Equipment -1,175,000 -975,000 Investment in Equity Instruments 1,875,000 1,125,000 Bank 18,750 12,500 Financial Assets Held for Trading 1,000,000 625,000 Dividends Receivable 80,000 37,500 Accounts receivable Inventory Total Assets Liabilities 1,500,000 1,587,500 100,000 156,250 14,233,750 10,360,000 Accounts Payable 250,000 625,000 Dividend Payable 375,000 350,000 Accrued Expenses 500,000 125,000 Accrued Interest 187,500 53,750 Tax Payable 268,750 187,500 Long Term Loan Due within One Year 250,000 225,000 Long Term Loan 750,000 1,000,000 Total Liabilities 2,581,250 2,566,250 Net assets 11,652,500 7,793,750 Shareholders' Equity Contributed equity 8,750,000 6,525,000 Asset Revaluation Reserve 1,112,500 625,000 Fair Value Reserve 943,750 443,750 Retained profits 846,250 200,000 Total Shareholder equity 11,652,500 7,793,750 Question 3 continued The Statement of Comprehensive Income of Supermart Limited for the year ended 31/3/2022 is given below: Revenue Other Income and Gains Total Income Less Cost of Goods Sold Gross Profit Less: Operating Expenses Operating Profit Less Interest Expense 13,250,000 650,000 13,900,000 -10,693,750 3,206,250 -1,943,750 1,262,500 -162,500 Profit Before Tax 1,100,000 Taxation -268,750 Profit for the year 831,250 Other Comprehensive income: Increase in Asset Revaluation Reserve 487,500 Fair Value Reserve 500,000 1,818,750 Total comprehensive income Additional Information for year ended 31st March 2022: Other Income and gains includes the following: Dividend Income $312,500 Some items of plant and equipment were disposed on 1 April 2021. Gains from Disposal of Plant and equipment (Carrying Value = 112,500; Accumulated Depreciation $50,000) is $25,000. Gains from Revaluation of financial assets held for trading $250,000 Interest Revenue $62,500 The balance in the Asset Revaluation Reserve Account is in relation to revaluation of land. Land was acquired for cash considerations. There was no disposal of land during the year. Building was revalued for the first time in 2022 and revaluation loss of $125,000 was included in operating expenses. Depreciation of building for the year ended 31st March 2022 is $75,000 Financial assets held for trading were acquired for cash considerations. The company issued new shares for cash considerations. Included in other income and gains is an amount $250,000 related to gain from revaluation of financial assets held for trading. Included in operating expenses are accrued expenses of $437,500 and depreciation charges for building and plant and equipment. Dividends were paid in July 2021. Required Prepare a Statement of Cash Flows for Supermart Limited. for the year ended 31st March 2022