Question
Orange Pekoe Pty Ltd is a small proprietary limited company that sells tea-based beverages. The opening bank balance on 1 July 2016 was $15,000. The
Orange Pekoe Pty Ltd is a small proprietary limited company that sells tea-based beverages. The opening bank balance on 1 July 2016 was $15,000. The following is a summary of business transactions for the year ending 30 June 2017.
Receipts from customers 495000
Payments for inventory 295000
Payments for expenses 138000
Cash purchase of a motor vehicle for deliveries 90 000
Cash drawings 55 000
Dividends paid 26 000
Payment of interest 5 000
Allowance for doubtful debts 50 000
Loan proceeds 25 000
Depreciation of motor vehicle 10 000
Interest received 14 000
Income taxes paid 18 500
Dividends declared 60 000
Equity injection 85 000
Cash proceeds from sale of old delivery van 19 000
Required:
From the relevant information above, use Statement of Cash Flows using the template provided on the following page for the year ending 30 June 2017.
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