QUESTION 1

The statements of financial position of Naledi Ltd for the past two years and the most recent statement of profit or loss are set out as follows:

Further information

1. The total depreciation charge for the year was P3,545,000.

2. Property, plant and equipment costing P976,000 with accumulated depreciation of P355,000 was sold in the year at a profit of P224,000.

3. All sales and purchases were on credit. Other expenses were paid for in cash.

Required

Prepare the statement of cash flows for Naledi Limited for the year end

ed 31 October 2018. (19 marks)

Prepare the statement of changes in equity for Naledi Limited for the year ended 31 October 2018. (6 marks)