profit. 18.18 Statement of cash flows for a partnership ** LO5 The comparative statement of financial position of the partnership of Murray and Darling as at 30 June 2019 and 30 June 2020 were as follows. MURRAY AND DARLING Comparative Statements of Financial Position as at 30 June 2019 2020 $ 100 83 400 5 200 56 300 $ 300 90 000 3800 64 700 $ 145 000 $ 158 800 CURRENT ASSETS Cash at bank Accounts receivable (net) Bills receivable Inventory NON-CURRENT ASSETS Furniture and equipment Accumulated depreciation Motor vehicles Accumulated depreciation 42 000 (6 400) 36 800 (8200) 47 500 (7200) 27 600 (8 500) 64 200 59 400 $ 209 200 $218 200 CURRENT LIABILITIES Bank overdraft Accounts payable Murray, Advance 26000 23 600 10 000 4000 25 500 8 000 59600 37500 2019 2020 EQUITY Murray, Capital Darling, Capital Murray, Retained earnings Darling, Retained earnings 80 000 60 000 6 400 3 200 92 000 65 000 14400 9300 149 600 180 700 $ 209 200 $218 200 Additional information 1. Each partner's retained earnings account has been credited with a salary of $12 000 as part of their profit distribution. 2. Drawings in cash for each partner in anticipation of profits amount to the following. Murray Darling $ 9900 10 400 3. A motor vehicle that cost $9200 and had been written down to $3100 was sold for $3750. 4. Expenses involving a flow of cash amounted to $75 000. 5. Sales for the year were $300 000 and cost of sales was $184050. Required (a) Prepare a statement of cash flows for the partnership for the year ended 30 June 2020 using the direct method