Bargains Galore
Comparative Statement of Financial Position
As at 30 June 2018 and 2019
	2018	2019
	($)	($)
Assets
Cash	20,000	30,000
Accounts Receivable	74,000	52,000
Inventory	60,000	88,000
Prepaid expense	44,000	36,000
Plant & Equipment	600000	648000
Accumulated Depreciation - plant & equipment	(180000)	(230000)
Total Assets	618,000	624,000
Liabilities and Equity
Accounts payable	96,000	60,000
Expense payable	22,000	40,000
Long term loan	50,000	44,000
Share capital	450,000	460,000
Total Liabilities and Equity	618,000	624,000

	Bargains Galore
	Income Statement
	for the year ended 30 June 2019
Income		$	$
Sales Revenue			800,000
Total income			800,000
Expenses
Cost of sales		408,000
Wages & salaries		160,000
Depreciation expense -plant & equipment		50,000
Other expenses (excluding depreciations)		78,000
Income tax expenses		44,000
Total expenses			740,000
PROFIT			60,000

The comparative statement of financial position and the income statement for the year ended 30 June 2019 of Bargain Galore ltd. is given above. You are required to prepare a cash flow statement from the above information.

There is no sale of plant and equipment during the year.

Answer below:

	Bargains Galore
	Statement of Cash flows
	for the year ended 30 June 2019
		$
Cash flows from operating activities (5 marks)
Cash receipt from customers
Cash paid to suppliers and employees
Cash paid for income tax
Net cash flow from operating activities
Cash flows from investing activities (2 marks)
Net cash flow from investing activities
Cash flows from financing activities (2 marks)
Net cash flow from financing activities
Net increase (decrease) in cash and cash equivalent (1 mark)