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Some extracts from the cash flow statement of Trackball plc are included below for the year to 30th June 20x6. Group cash flow statement 20x6

Some extracts from the cash flow statement of Trackball plc are included below for the year to 30th June 20x6.

Group cash flow statement

20x6 20x5
m m
Operating activities
Cash generated from operations 612.9 550.4
Interest paid (82.5) (71.7)
Tax paid (43.2) (88.2)
Net cash from operating activities 487.2 390.5
Investing activities
Purchase of tangible fixed assets (401.7) (374.0)
Sale of tangible fixed assets 264.0 118.9
Purchase of shares in other companies (1,175.1)
Interest received 4.1 3.0
Net cash used in investing activities (1,308.7) (252.1)
Financing activities
Proceeds of loan capital 1,848.6 314.2
Repayment of loan capital (877.1) (263.1)
Dividends paid (160.5) (148.8)
Net cash from financing activities 811.0 (97.7)
Net increase (decrease) in cash/cash equivalents (10.5) 40.7

Required:

Make notes about the information that a potential lender might gain from the above cash flow statement and debt reconciliation.

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