Prepare the operating section of the statement of cash flows using the direct method.

Exercise 17.10 A summarised comparative statement of financial position of Fuchsia Ltd is presented below. 30 June 2018 30 June 2019 Cash $23,600 $107,380 Trade accounts receivable 76,700 106,200 Inventories 68,440 73,160 Prepayments 11,800 14,160 Land 94,400 106,200 Plant 330,400 377,600 Accumulated depreciation (70,800) $534,540 (108,560) $676,140 $53,100 Accounts payable $56,640 236,000 Borrowings Share capital 188,800 236,000 271,400 Retained earnings 56,640 112,100 $534,540 $676,140 Additional information (a) There were no disposals of land or plant during the year. (b) A $35,400 borrowing was settled through the issue of ordinary shares. There were no other repayments of borrowings. (c) Profit for the year was $141,600, interest expense was $16,520, and income tax expense was $48,380. There were no items of other comprehensive income. (d) A $86,140 dividend was paid during the year. (e) Sales revenue for the year was $354,000. There was no other revenue. 2. Prepare the operating section of the statement of cash flows using the direct method. parenthesis e.g. (15,000).) Fuchsia Ltd Statement of cash flows (extract) for the year ended 30 June 2019 Cash flows from operating activities 324500 Cash collected from customers Cash paid for supply of goods and services Interest paid (16520) (48380) Income tax paid Net cash from operating activities