Statement of cash flows Workings: Comparative information as at 30 June 2020 and 30 June 2021 for Pretentious Led is as follows. Cash receipts from customers: Comparative Statements of Finanais Accounts Receivable as at 50 June 2020 2021 ASSETS Sales Accounts receivable 152 086 227 00 Land 125 00 Building Accumulated depreci buildings 170 060) (200 DOO Accumulated depreciation (10 000 624 000 Cash paid to suppliers: mes AND Interest payable 121 900 134 000 17 50 0 6 DOO Cash payments for purchases: Mortgage loan payable Retained earnings 344 009 250 060 Inventory $824 000 $ 822 000 566 000 Additional information 1. Gross profit for the year ended 30 June 2021 was $321 000, and consisted of: 2. Purchases of inventory for the year were $545 000 3. All purchases and sales of inventories were on credit. . Profit for the year ended 30 June 2021 was $62 500, after deducting expenses of $258 500 from the gross profit figure. Accounts Payable . Expenses of $258 500 include depreciation on buildings, and on plant and equipment, a loss on sale of land, and $10 000 in interest expense. 6. During the year ended 30 June 2021, cash dividends were paid. . Building extensions were paid for during the year, and a block of land, costing $75 000, was sold for $62 500 cash. . No plant was purchased or sold during the year. Other Expenses Payable [a) Required a. Prepare the statement of cash flows for Pretentious Ltd for the year ended 30 June 2021 using the direct method. PRETENTIOUS LTD Statement of Cash Flows Show minus figures in O .g (342) Balance cid for the year ended 30 June 2021 Can of Goods sol Dividends paid Cash flows from operating activities: Cash from customers Cash receipts from customers Cash paid Interest paid: Other expomacs Cost of land sold Cash paid to suppliers and employees Dividends paid Interest Payable Cash generated from operations Interest expense Interest paid Net cash from operating activities Purchase of property, plant and equipment: Cash flows from investing activities: Proceeds from sale of land Land Payment for building extensions Net cash used in investing activitie Cash flows from financing activities: Buildings Proceeds from mortgage loan Balance bid Dividends paid Net cash from financing activities Dividends paid: Net increase (decrease) in cash and cash Retained Earnings equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year