Prepare a statement of cash flows -indirect method

SECTION B - PROBLEMS 15 points Comparative balance sheets as at 31 December 2013 and 2014 for Chartowers Ltd are shown below.* 2013 Chartowers Ltd Balance sheet as at 31 December 2014 Assets Cash $ 4 835 Accounts receivable 11 372 Inventory 22 034 Prepaid expenses 1 421 Property, plant and equipment 63 972 Less : Accumulated depreciation (18 480) Total assets S 85 154 Liabilities and equity Accounts payable 7 108 Debentures 12 794 Paid-up capital (ordinary shares, par value $1) 35 000 Retained earnings 30 252 Total liabilities and equity $ 85 154 S 3554 8 529 15 637 2 132 49 755 (14 215) $ 65 392 10 490 35 000 19 902 $65 392 Sales for 2014 were $180 000, and profit after tax was $16 350. Cost of sales was $136 456. Dividends of $6000 were declared and paid during the year. Interest earned and received was $2340, and interest incurred and paid was $1654. Tax expense for the period was $3000 and this was paid in the period. Other expenses (including depreciation) were $24 880. Property, plant and equipment were purchased for cash. 1 Add File