Prepare the statement of cash flow for GAUTENG (PTY) LTD. for the year ended 31 December 2012 using indirect method.

Save a copy y- You can't save changes to this file. (40 MARKS) UESTION The following financial information was extracted from accounting records of GAUTENG (PTY) LTD. GAUTENG (PTY) LTD STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2012 R R Sales 000 00 (000 20z) 000 86 Cost of sales Gross profit Operating income Profit on sale of equipment Gross operating income Operating expense Depreciation: Equipment 000S 000 S 000 0 (56 500) 000 0 000 6 Vehicle 000 I 16 500 Loss on disposal of vehicle Sundry expenses Operating profit Finance cost: Interest income Interest expense Profit before tax Taxation Profit for the year 46500 (000 I 000 S (000 9) 45 500 (23 500) 000 2 GAUTENG (PTY) LTD STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2012 Retained Total Share capital Share premium eamings R 22500 R R. R Balance at beginning of the year Profit for the year 000 001 22000 00022 (0002) 000 02I Dividends (0007) 000 SO 000 S0 Issue of shares 000 SI 262 500 42 500 Balance at end of year 000 ST GAUTENG (PTY) LTD STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2012 I102 R R ASSETS 000 00 000002 Non-current assets Equipment Cost price Accumulated depreciation Vehicles Cost price Accumulated depreciation Investments 000 96 000 0L 000 001 0000t (0000t) 0000 00079 (000 0) 000 9 000 99 (000ZE) 0000S (000 0E) 78500 Current assets 000 0S Inventories Trade and other receivables Cash and cash equivalents 20 000 18000 15 000 30000 15 000 30500 TOTAL ASSETS 358500 146 000 EQUITY AND LIABILITIES Share capital Share premium Retained earnings 100 000 205000 15000 42500 22 500 Non-current liabilities 60 000 Debentures 60 000 Current liabilities Trade and other payables Taxation payable Dividends payable 23 500 36000 10000 20 000 3 000 24500 500 1500 TOTAL EQUITY AND LIABILITIES 146 000 358500 ADDITIONAL INFORMATION: Equipment originally purchased for R50 000 with a net book value of R30 000, was sold during the year. New equipment was purchased to replace the equipment sold. 1. 2. The capacity of the plant was expanded through the purchase of new equipment to the value of R100 000 A vehicle which cost R10 0000, with a net book value of R3 000, was sold during the year. A new vehicle was purchased to replace the vehicle disposed. 3. REQUIRED: Prepare the statement of cash flow for GAUTENG (PTY) LTD. for the year ended 31 December 2012 using indirect method