Corporatization in Fiji - A Case Study of EFL (Statement of Cash Flows)

Company Background

Energy Fiji Limited, previously the Fiji Electricity Authority, was established, incorporated and constituted under the provisions of the Electricity Act of 1966. Fiji Electricity Authority corporatised into Energy Fiji Limited (EFL) on 16 April 2018. EFL is a public company limited by shares and registered under the Companies Act of Fiji (Revised 2015).

Below is an extract from 2020 Annual Report:

Source: http://www.parliament.gov.fj/wp-content/uploads/2021/08/57-Energy-Fiji-Limited-Annual-Report-2020.pdf

Question

i. For the purpose of the statement of cash flows at EFL, what does cash and cash equivalents comprise of in 2020.

ii. Discuss the impact of Covid-19 on EFL's sales, operations and capital expenditure projects in 2020.

iii. Upon examination of 2020 statement of cash flows of EFL, state the following:

The total net cash flows for each of the three categories.

Which category provided most cash inflows?

Which category had the greatest cash outflows?

iv. Identify the major investing and financing activities undertaken in the last financial year. How do these major activities compare with the previous years' activities?

v. Compare current net cash and cash equivalent figure (at 31 Dec) with prior year. Has the company performed well or poorly in 2020? Justify your conclusion.