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Profit and Loss Account for the year ending 31 December 20X4 Sales Less Cost of goods sold Less Expenses Wages Other costs Depreciation Interest .6,500(3,000)3,500
Profit and Loss Account for the year ending 31 December 20X4 Sales Less Cost of goods sold Less Expenses Wages Other costs Depreciation Interest .6,500(3,000)3,500 Profit for the year Dividend Retained profit Fixed assets at cost Less Accumulated depreciation Net book value Balance Sheet as at 31 December Current assets Stock Trade debtors Cash Less Current liabilities Trade creditors Accrued wages Financed by: Debentures Ordinary share capital Retained profits Cash Account for 20X4 \begin{tabular}{lclr} \hline & & & \\ Opening balance & 100 & Wages & 2,025 \\ Cash from customers & 6,550 & Other expenses & 600 \\ & & Cash paid to suppliers & 2,875 \\ & & Interest paid & 100 \\ & & Cash purchase of fixed assets & 700 \\ & & Cash paid to debenture holders & 100 \\ & & Dividends paid & 50 \\ & & Closing balance & 6,650200 \\ \hline \end{tabular} Sales Leas Cost of goods rald Ins Expenset Wages Crher caits Depreciation intertat Prosit for the year bridend Metainad protit Fiard ansets at cout ins Mccumdated deproclation Net beol value Balance Sheet as at 31 December Cuenent aiata hrodk Trase debtors. Caih Lru curent lasities Trase beator Aconed wiven fivariod by Delentares. ortinery thare capid Eatained arefin. Coth Accwant for zaxa Crebiera lielaines califien caturien!. You are required: a. Show the working for the operating profit (2 marks) . Show the Reconciliation of operating profit to net cash inflow from operating activities (5 marks) c. Prepare the Cash Flow Statement using the indirect method. (15 marks)
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