please answer correctly forecast 2 year statement of cash flows

create forecasts for the next TWO accounting years (X1 and X2) using the data provided, for your designated company and scenario. The forecasts should include the Statement of Cash Flows (IAS7 compliant

Information relating to the most recent financial year: YEADON LIMITED STATEMENTS OF PROFIT OR LOSS FOR THE YEAR ENDED 31 DECEMBER Achieved XO '000 Sales Cost of Sales Gross Profit 10,000 (5,000 5,000 (3,597) (959) Sales and Distribution Administration Exceptional Items Operating Profits 444 Finance Costs ( 11 ) Profit Before Tax 434 Tax ( 87 ) Profit / Loss for the Period 347 Notes to SPOL: Expenses - Sales and Distribution People Costs Marketing Distribution & Packaging Depreciation Total 1,123 1,474 750 250 3,597 Expenses - Administration People Costs Rent Depreciation Other Total 454 250 155 100 959 Tax 20% Information relating to the most recent financial year: YEADON LIMITED Statements of Financial Position '000 Non-Current Assets: Technology Furniture and Equipment Investments 650 473 1,123 Current Assets: Inventory Trade and Other Receivables Bank 1,575 419 161 2,155 TOTAL ASSETS 3,278 Equity Ordinary Shares of 1 fully paid Share Premium Revaluation Reserve Retained Earnings 100 20 2,012 2,132 Non-Current Liabilities: Long Term Loan 150 909 Current Liabilities: Trade and Other Payables Bank Overdraft Corporation Tax 87 996 TOTAL EQUITY AND LIABILITIES: 3,278 Notes to SoFP: Technology Cost Accumulated Depn 1,200 550 Furniture and Equipment Cost Accumulated Depn 800 328 Investments 0 Trade and Other Receivables Trade Receivables Days Trade Receivables (inc VAT) Prepayments Other Trade and Other Receivables 10 329 70 20 419 Trade and Other Payables Trade Payables Days 28 Trade Payables (inc VAT) Accruals VAT Control Other Trade and Other Payables 460 300 99 50 909 S4A Forecasting -Assumptions YEADON LIMITED Sales FORECASTING ASSUMPTIONS FOR SPOL % Growth Decrease in volume % Increase/Decrease in Price New Income streams Withdrawl of ranges Like for Like Cost of Sales % Increase/Decrease in Suppler Prices % COS on New Income streams % COS on withdrawl of range Overall increase in S&D people costs Marketing. anticipated spend Distribution to increase /decrease in Ine with overal sales activity Allocated Depreciation - Depreciation on Technology Overall increase in Admin people costs Change in Rent Other - to increase in line with overall sales activity Allocated Depreciation - Depreciation on Furniture and Equipment X1 20.0% 2.0% 100 n/a 52% 2% 55% na 7.0% 1,500 X2 20.0% 2.0% 150 na 54% 2% 55% na 8.0% 2,000 Cost of Sales: Operating Expenses Sales and Distribution Operating Expenses - Administration 100% 2.0% 2.0% 100% 3.0% 2.0% 100% 100% Exceptional Items None na na 7% Finance costs 7% 9% Long Term Loan - Interest charge applied to average balance in the year Bank Overdraft - Interest charge applied to average balance in the year Corporation Tax Rate forecast on profits No tax payable i no profits are made) Taxation 20% 18% YEADON LIMITED X1 X2 300 0 25% 400 0 25% Non-Current Assets 60 70 FORECASTING ASSUMPTIONS FOR SOFP Technology Additions Disposals Depn Policy Straight line on Cost Assume additions happen half way through the year on average Plant and Machinery Additions Disposals Depn Policy, Straight line on Cost Assume additions happen half way through the year on average Additions Disposals Proceeds Inventory days Trade Recevable Days (Add VAT on top) Prepayments, estimate other, estimate 20% 20% Investments Inventory 0 0 0 120 10 60 45 0 0 D 118 12 75 50 Trade and other Receivables Cash at Bank Share Capital Long Term Debt Wll be a balancing figure of positive cash balance Fbed as per XD No plans to change at moment Loans Repaid Loans taken out Trade Payable Days (Add VAT on top) Accruals, estimate Other, estimate Wll be a balancing figurer a negative cash balance -50 0 30 -50 0 32 380 250 Trade and Other Payables 350 250 Bank Overdraft Information relating to the most recent financial year: YEADON LIMITED STATEMENTS OF PROFIT OR LOSS FOR THE YEAR ENDED 31 DECEMBER Achieved XO '000 Sales Cost of Sales Gross Profit 10,000 (5,000 5,000 (3,597) (959) Sales and Distribution Administration Exceptional Items Operating Profits 444 Finance Costs ( 11 ) Profit Before Tax 434 Tax ( 87 ) Profit / Loss for the Period 347 Notes to SPOL: Expenses - Sales and Distribution People Costs Marketing Distribution & Packaging Depreciation Total 1,123 1,474 750 250 3,597 Expenses - Administration People Costs Rent Depreciation Other Total 454 250 155 100 959 Tax 20% Information relating to the most recent financial year: YEADON LIMITED Statements of Financial Position '000 Non-Current Assets: Technology Furniture and Equipment Investments 650 473 1,123 Current Assets: Inventory Trade and Other Receivables Bank 1,575 419 161 2,155 TOTAL ASSETS 3,278 Equity Ordinary Shares of 1 fully paid Share Premium Revaluation Reserve Retained Earnings 100 20 2,012 2,132 Non-Current Liabilities: Long Term Loan 150 909 Current Liabilities: Trade and Other Payables Bank Overdraft Corporation Tax 87 996 TOTAL EQUITY AND LIABILITIES: 3,278 Notes to SoFP: Technology Cost Accumulated Depn 1,200 550 Furniture and Equipment Cost Accumulated Depn 800 328 Investments 0 Trade and Other Receivables Trade Receivables Days Trade Receivables (inc VAT) Prepayments Other Trade and Other Receivables 10 329 70 20 419 Trade and Other Payables Trade Payables Days 28 Trade Payables (inc VAT) Accruals VAT Control Other Trade and Other Payables 460 300 99 50 909 S4A Forecasting -Assumptions YEADON LIMITED Sales FORECASTING ASSUMPTIONS FOR SPOL % Growth Decrease in volume % Increase/Decrease in Price New Income streams Withdrawl of ranges Like for Like Cost of Sales % Increase/Decrease in Suppler Prices % COS on New Income streams % COS on withdrawl of range Overall increase in S&D people costs Marketing. anticipated spend Distribution to increase /decrease in Ine with overal sales activity Allocated Depreciation - Depreciation on Technology Overall increase in Admin people costs Change in Rent Other - to increase in line with overall sales activity Allocated Depreciation - Depreciation on Furniture and Equipment X1 20.0% 2.0% 100 n/a 52% 2% 55% na 7.0% 1,500 X2 20.0% 2.0% 150 na 54% 2% 55% na 8.0% 2,000 Cost of Sales: Operating Expenses Sales and Distribution Operating Expenses - Administration 100% 2.0% 2.0% 100% 3.0% 2.0% 100% 100% Exceptional Items None na na 7% Finance costs 7% 9% Long Term Loan - Interest charge applied to average balance in the year Bank Overdraft - Interest charge applied to average balance in the year Corporation Tax Rate forecast on profits No tax payable i no profits are made) Taxation 20% 18% YEADON LIMITED X1 X2 300 0 25% 400 0 25% Non-Current Assets 60 70 FORECASTING ASSUMPTIONS FOR SOFP Technology Additions Disposals Depn Policy Straight line on Cost Assume additions happen half way through the year on average Plant and Machinery Additions Disposals Depn Policy, Straight line on Cost Assume additions happen half way through the year on average Additions Disposals Proceeds Inventory days Trade Recevable Days (Add VAT on top) Prepayments, estimate other, estimate 20% 20% Investments Inventory 0 0 0 120 10 60 45 0 0 D 118 12 75 50 Trade and other Receivables Cash at Bank Share Capital Long Term Debt Wll be a balancing figure of positive cash balance Fbed as per XD No plans to change at moment Loans Repaid Loans taken out Trade Payable Days (Add VAT on top) Accruals, estimate Other, estimate Wll be a balancing figurer a negative cash balance -50 0 30 -50 0 32 380 250 Trade and Other Payables 350 250 Bank Overdraft