Following are the statements of financial position and comprehensive income and

supplementary information for Siri Ltd. for the years ended December 31, 2019 and

2020

Siri Ltd.

Statement of financial position

As at December 31

	2020	2019
Assets
Cash	4,400	6,000
Accounts receivable (net)	9,400	10,600
Inventory	6,040	4, 000
Prepaid insurance	520	960
FVOCI-elect investments	1200	800
Property, plant and equipment	32400	32000
Accumulated depreciation	(6400)	(8000)
Land	32440	16040
Total assets	80000	62400
Liabilities and shareholders equity
Liabilities:
Accounts payable	4360	4000
Wages payable	365	740
Dividends payable	560	-
Long-term notes payable	10400	8000
Total liabilities	15685	12740
Shareholders equity:
Common shares	54400	40000
Retained earnings	10000	9600
AOCI FVOCI elect investments	(85)	60
Total shareholders Equity	64315	49660
Total liabilities and shareholders equity	80000	62400

Siri Ltd.

Statement of comprehensive income

For the year ended December 31, 2020

Sales revenue $26,000

Cost of goods sold 14,200

Depreciation expense 1,600

Wages and salaries expense 3,800

Operating expense 2,600

Interest expense 330

Loss on sale of property, plant and equipment 120

Income tax expense 1,100

Net income 2,250

Other comprehensive income:

Loss on FVOCI-elect investments 75

Total comprehensive income $ 2,175

Supplementary information:

Equipment costing $5,000 was acquired by issuing an interest-bearing long-term

note for the full amount. Additional equipment was purchased for cash during 2020.

Equipment that originally cost $4,900 was sold during 2020.

One FVOCI-elect investment was sold for $325 during 2020. The original cost was

$265, and the carrying value was $300 at the end of 2019. SBs policy is to transfer

the net balance of AOCI to retained earnings upon derecognition of this investment.

Several FVOCI-elect investments were purchased during 2020.

Required:

Prepare a statement of cash flows for the year ended December 31, 2020, using the

Direct Method. (Remember to analyze the FVOCI-elect investment and AOCI accounts.)