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part a) thanks Verizon Medical Pte Ltd Income Statement for year ended 31 December 2020 $ Sales revenue Less: Cost of sales Gross Profit Add:

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Verizon Medical Pte Ltd Income Statement for year ended 31 December 2020 $ Sales revenue Less: Cost of sales Gross Profit Add: Gain on sale of motor vehicle Less: Other expenses $000 356 000 (280 000) 75 600 4 000 (35 000) 44 600 Balance sheets as at 31 December 2020 LY 2019 $000 2020 $000 23 000 Non-current assets Freehold buildings, at cost at valuation Motor vehicles Accumulate depreciation - motor vehicles Total non-current assets 213 000 (92 800) 143 200 90 000 272 000 (108 000) 254 000 Current assets Cash at bank Cash in hand Trade receivables Inventory Total assets 11 000 10 000 52 200 47 000 263 000 48 000 41 000 343 000 Shareholder's equity Issue share capital $1 ordinary share Retained earnings Asset Revaluation reserve 80 000 104 000 100 000 130 400 7 000 237 400 184 000 Non-current liabilities 6% long term loan 50 000 Current liabilities Bank overdraft Trade payables and other payables Proposed dividend 8% mortgage loan 9 000 34 000 12 600 31 400 8 000 40 000 79 400 263 400 55 600 343 000 Total equity and liabilities 6 Additional information The following took place during the year ended 31 December 2020. 1. Apart from revaluation, an extension to freehold building was built. No sale of purchase or freehold building took place. The company does not depreciate freehold buildings. 2. On 1 July 2020, motor vehicle costing $49 000 was sold for $39 200 and new motor vehicles were acquired as well. 3. 4. Interim dividends of $5 600 was paid. The company repaid its 8% mortgage loan on 30 June 2020 and took on anew 6% long term loan on 1 September 2020. REQUIRED (a) Prepare a statement of cash flow for Verizon Medical Pte Ltd for the year ended 31 December 2020. [9]

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