QUESTION 4: Cash Flow Statement (17 marks)

You are provided with the following financial information for Broken Glass, a company that sells glassware.

QUESTION 4: Cash Flow Statement (17 marks) You are provided with the following financial information for Broken Glass, a company that sells glassware. Broken Glass COMPARATIVE BALANCE SHEETS AS AT 30 JUNE 2020 2019 Current Assets Cash at Bank 18 600 26 200 Accounts Receivable (net) 18 200 13 000 Inventory 14 000 18 000 Prepaid Rent 3 000 $53 800 2 000 $59 200 Non-Current Assets Delivery Vehicles 220 000 160 000 Less:Accum Depr Del Veh (62 000) 158 000 (48 000) 112 000 Total Assets 211 800 171 200 Current Liabilities Accounts Payable 25 000 30 000 Salaries Payable 2 000 8 000 Tax Payable 16 000 43 000 12 000 50 000 Non-Current Liabilities Bank Loan 70 000 10 000 Total Liabilities 113 000 60 000 Net Assets $98 800 $111 200 Equity Capital - B Glass 98 800 111 200 $98 800 $111 200Broken Glass INCOME STATEMENT FOR THE YEAR ENDED 30 JUNE 2020 Net Sales 5450 000 Cost of Sales (185 000) Discount Received _9 000 Gross Prot: 274 000 Other Revenue: Gain on disposal of assets 3 000 Interest Revenue _i'117 284 500 Expenses: Selling Expense 56 600 Administrative expenses 110 000 Doubtful Debts Expense 4 200 Depreciation Expense 22 000 Interest Expense 4 100 m Profit before tax 87 600 Income Tax Expense 40 000 Profit $47 600 CASH FLOW STATEMENT FOR THE YEAR ENDING 30 JUNE 2020 - Cash Flows from Operating Activities Receipts from customers T. Payments to suppliers & employees T. Cash generated by operations T. Interest received T. Interest paid T. Income tax paid T. T. Cash Flows from Investing Activities T. Cash on Disposal of Delivery Vehicles Payment for Delivery Vehicles T. Cash Flows from Financing Activities T. Loane Drawings Net increase / decrease in cash held T. Cash at the beginning of the year Cash at the end of the year