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QUESTION 2 Vaccination Ltd has provided you with the following information: As ar or for the year ended 31 March 2022 2021 s Sales-Credit Sales

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QUESTION 2 Vaccination Ltd has provided you with the following information: As ar or for the year ended 31 March 2022 2021 s Sales-Credit Sales - Cash Operating expenses Interest expense Cost of goods sold Depreciation expense Tax expense $ 200 000 56 61 240 82 150 000 6 200 2.400 Accounts receivable Inventory Equipment at cost Accumulated depreciation Accounts payable Dividends payable Bank overdratt Long-term borrowings Share capital Retained earnings 42 000 30 000 13 000 12 000 94 070 48 000 18 200 12 000 16 390 17 180 16 2701 13670288 2 2001 2000 60 000 50 000 22 340 8532) Additional information: 1. Vaccination Ltd uses the direct method of reporting cash flows from operating activities 2. The entity classifies interest expense as a cash flow from financing activities and dividends paid as a cash flow from financing activities. 3. A long-term borrowing repayment of S400 was made during the financial year. 4. Multiple items of equipment were purchased during the financial year, one item purchased at year end cost $4.000 Required: Prepare a Statement of Cash Flows for Vaccination Lad, in accordance with NZ LAS Statement of Cash Flows for the year ended 31 March 2022. GST is not applicable. You are required to reconstruct all the general ledger accounts provided in the answer booklet () Determine the dollar effect on cash flows from financing activities if the entity had classified dividends paid as a cash flow from operating activities and not as a cash flow from financing activities Question 2 continued (i) Determine the dollar effect on cash flows from operating activities if the entity had classified dividends paid as a cash flow from operating activities and not as a cash flow from financing activities QUESTION 2 (i) General ledger accounts: Share capital $ $ RES $ KA Equipment $ $ QUESTION 2 (i) General ledger accounts continued: Accumulated depreciation $ S Dividends payable S S Accounts receivable $ $ Accounts payable S S Inventory S s QUESTION 2 (i) General ledger accounts continued: LTB S s

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