Part A $-$ Section $1$: Preparation of Cash flow statements $$ reconstructive and indirect method $($AAB$107)$

SydVic Ltd$$s comparative statements of financial position and statement of profit or loss and other comprehensive income for the year ended $30$ June $2021$ are shown below.

SydVic Ltd

Comparative Statements of Financial Position As at $30$ June

$2021$

$2020$

ASSETS

Cash at bank

$ $35000$

$ $21000$

Bank bills

$5000$

$4300$

Deposits at call

$3200$

$2500$

Accounts receivable

$24650$

$18900$

Allowance for doubtful debts

$(1250)$

$(950)$

Inventory

$47100$

$48300$

Prepaid expenses

$5400$

$2100$

Interest receivable

$800$

$900$

Share investments

$17800$

$33\mathrm{.}900$

Land

$35000$

$35000$

Buildings

$180000$

$120000$

Accum. depreciation $-$ buildings

Equipment

$(52200)$

$(47250)$

$90000$

$77400$

Accum. depreciation $-$ equipment

$(28950)$

$(34800)$

Patents $($indefinite life$)$

$7200$

$6100$

$$368750$

$$287400$

LIABILITIES AND EQUITY

Accounts payable

Trade bills payable

Expenses payable

Interest payable

$49260$

$46280$

$1000$

$700$

$4890$

$4170$

$2000$

$1500$

Current tax liability

$7200$

$7500$

Final dividend payable

$17400$

$16000$

Mortgage loan

$20000$

Debentures $(10\%)$

$96500$

$85000$

Share capital $($ordinary shares, issued at $$1)$

$147720$

$92450$

Retained earnings

$22780$

$33800$

$$368750$

$$287400$

SydVic Ltd

Statement of Profit or Loss and other Comprehensive Income For year ended $30$ June $2021$

INCOME

$$693000$

Sales

$2180$

Interest income

$3600$

Dividend income

$1050$

Discount received

$11300$

Gain on sale of share investments

$711130$

EXPENSES

Cost of sales

$$466000$

Bad debts expense

$1400$

Loss on sale of equipment

$800$

Depreciation equipment

$5250$

Depreciation buildings

$4950$

Discount allowed

$475$

Interest expense

$9200$

Other expenses

$209475$

$697550$

Profit before income tax

$13580$

Income tax expense

$7200$

PROFIT

$ $6380$

Additional information

$1.$ New equipment was purchased at a cost of $$33700,$ paid in cash.

$2.$ Equipment that cost $$21100$ and had a carrying amount of $$10000$ was sold for cash.

$3.$ Additions to buildings were partly funded by a mortgage loan.

$4.$ Debentures were issued at nominal value $($$$50)$ for cash.

$5.$ Share investments with a carrying amount of $$16100$ were sold for cash at a profit.

$6.$ The company was given permission to pay income tax in one instalment.

$7.$ No interim dividends were paid during the year.

Required

$($a$)$ Prepare the statement of cash flows for SydVic Ltd for the year ended $30$ June $2021$ in accordance with AASB $107,$ using the classifications shown in illustrative example A to the standard.

$($b$)$ Prepare the note showing the reconciliation of net cash from operating activities to profit for the year ended $30$ June $2021.$