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JAMBO Company Ltd is a business organization that trades in building materials. The comparative statement of financial position ( 2 0 2 1 and 2
JAMBO Company Ltd is a business organization that trades in building materials. The comparative statement of financial position and of the company and the statement of comprehensive income for are given below.JAMBO CompanyComparative Statement of financial positionAs at December st and Shs Millions Shs MillionsNoncurrent assets Machinery Accumulated depreciationCurrent assets Stock Accounts receivable Short term Government securities Cash in handTotal assets Financed by: Equity and liabilities Share capital Reserves Share premium Retained earningsShareholders equity Noncurrent liabilities Debenture Current Liabilities Accounts payable Taxation OverdraftTotal equity and liabilities Statement of comprehensive incomeFor the year ended Shs MillionsShs MillionsSales Cost of sales Gross profit Distribution costs Administration expensesProfit before interest and tax Interest expenses Profit before tax Income tax expense Profit after tax Dividend paid Retained earnings for the year Additional informationDuring the year ending Machinery that cost Shs Million were disposed of for Shs Million. The accumulated depreciation for the disposed asset was Shs Million.RequiredPrepare a statement of cash flows using the indirect method for the year ended
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