Question
B4 The following data are extracted from the financial statements of Jasmine Company: Income Statement: Profit 2020 $642,600 Depreciation expense Amortization of patent Gain/Loss on
B4 The following data are extracted from the financial statements of Jasmine Company: Income Statement: Profit 2020 $642,600 Depreciation expense Amortization of patent Gain/Loss on sale of Machinery 58,500 27,000 ? Statement of Financial Position: 30 June 2020 30 June 2019 Cash ? $677,160 Accounts receivable Inventory Accounts payable Accrued Expenses payable 645,600 689,100 771,600 591,900 417,300 453,600 294,300 257,400 Additional Information to be noted during the year: (1) Reacquired the Company's 30,000 ordinary shares in the market at $2.35 per share. (2) Sold the old machinery at cash of $360,000 (the cost of the machinery is $751,500 and the accumulated depreciation at disposal was $420,000). (3) Purchased a new machinery for cash at $750,000. (4) Made a loan of $300,000 to Rose Company. (5) Issued 8,000 8% preference shares at its par value $54 per share. (6) Declared and paid the dividend on preference shares issued under (5). Required: Prepare the statement of cash flows for the year ended 30 June 2020 using the indirect method for Jasmine Company. Place parentheses around those dollar amount representing cash outlays. (15 marks)
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