prepare the statement of cash flows using indirect method.
ge 1: Question 6 (22 points) (22 MARKS = 30 minutes) Comparative SFP accounts of Red Zone Limited, which follows IFRS appear below 2: Red Zone Limited Statement of Financial Position Accounts December 31, 2020 and 2019 Debit balances Cash Term deposit maturing January 31 Acccounts receivable> Inventory Equipment Buildings Land 2020 2019 580000 $ 51.000 42.000 68.000 138 500 119000 175.000 70000 145,000 145.000 5829500 12 2020 31.000 37.000 2009 Credit balances Accumulated depreciation - equipment Accumulated depreciation - buildings Accounts payable Income tax pavable Dividend tevable "age 1: Credit balances Accumulated depreciation - equipment Accumulated depreciation - buildings Accounts payable Income tax payable Dividend payable Asset retirement obligation 2020 2012 21.000 14030 37.000 29.000 72.500 80.000 32.000 40.000 40.000 58000 62,000 48.000 132.000 170000 202000 229.000 22.000 90.000 $ 620.500 e 2: Long-term notes payable Common shares Retained earnings 3: Data from Red Zone's 2020 income statement follow: $ 960000 so.co 148000 Sales revenue Less: Cost of goods sold Gross profit Less: Operating expenses (includes depreciation and impairment) Income from operations Other expenses Interest expense 50200 Loss on disposal of equipment Income before tax rer ge 1: Question 6 (22 points) (22 MARKS = 30 minutes) Comparative SFP accounts of Red Zone Limited, which follows IFRS appear below 2: Red Zone Limited Statement of Financial Position Accounts December 31, 2020 and 2019 Debit balances Cash Term deposit maturing January 31 Acccounts receivable> Inventory Equipment Buildings Land 2020 2019 580000 $ 51.000 42.000 68.000 138 500 119000 175.000 70000 145,000 145.000 5829500 12 2020 31.000 37.000 2009 Credit balances Accumulated depreciation - equipment Accumulated depreciation - buildings Accounts payable Income tax pavable Dividend tevable "age 1: Credit balances Accumulated depreciation - equipment Accumulated depreciation - buildings Accounts payable Income tax payable Dividend payable Asset retirement obligation 2020 2012 21.000 14030 37.000 29.000 72.500 80.000 32.000 40.000 40.000 58000 62,000 48.000 132.000 170000 202000 229.000 22.000 90.000 $ 620.500 e 2: Long-term notes payable Common shares Retained earnings 3: Data from Red Zone's 2020 income statement follow: $ 960000 so.co 148000 Sales revenue Less: Cost of goods sold Gross profit Less: Operating expenses (includes depreciation and impairment) Income from operations Other expenses Interest expense 50200 Loss on disposal of equipment Income before tax rer
