Question
At the end of 2022 the plant and equipment (at carrying value) totalled R6 250 000, the long-term investment was valued at R350 000, inventories
At the end of 2022 the plant and equipment (at carrying value) totalled R6 250 000, the long-term investment was valued at R350 000, inventories amounted to R2 150 000, R1 900 000 was owed by trade debtors, cash in the bank amounted to R500 000, the ordinary share capital balance was R3 100 000, the accumulated undistributed profits amounted to R3 000 000, an amount of R3 600 000 was owed to Vap Bank in respect of the long-term loan, R1 200 000 was owed to the trade creditors, R200 000 was owed to shareholders for the final dividend and R50 000 was owed to SARS for income tax. The depreciation, operating profit, interest expense and income tax for the year ended 31 December 2022 amounted to R750 000, R1 650 000, R450 000 and R400 000 respectively. Dividends paid and recommended amounted to R300 000. repare the financial statement for the year ended 31 December 2022 that provides details about the cash inflows and cash outflows of Megazone Limited..
Workings | R | |
Cash flows from operating activities |
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Profit before working capital changes | Operating profit + Depreciation | |
Working capital changes |
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Increase/decrease in inventory |
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Increase/decrease in receivables |
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Increase/decrease in payables |
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Cash generated from operations | ||
Interest paid | ||
Interest income | ||
Dividends paid |
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Income tax paid |
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Net cash inflow from operating activities | ||
Cash flow from investing activities | ||
Non-current assets purchased |
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Net cash flow from investing activities |
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Cash flow from financing activities | ||
Proceeds from issue of ordinary shares | ||
Long-term borrowings increase/decrease | ||
Net increase/decrease in cash and cash equivalents | ||
Cash and cash equivalents at the beginning of the year | ||
Cash and cash equivalents at the end of the year | ||
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