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The accountant for Owen Ltd is asked to calculate the total cash flow from financing activities of the financial year ended 30 June 2150. She
The accountant for Owen Ltd is asked to calculate the total cash flow from financing activities of the financial year ended 30 June 2150. She was provided the following information: 1. Depreciation of PPE is calculated using reducing balance method and the rate of depreciating is 15%. Assume there is no residual value. 2. A PPE purchased on 30 June 2147 has made a gain of $43.5 in disposal. The historical cost was $4,000. 3. Total operating expense as on the income statement is $10,000, including $500 electricity expense, $2,500 wages expense, $2,500 cost of goods sold, $3,000 rent expense, $1,300 depreciation expense, $150 insurance expense and $50 bad debt expense. Interest expense is $50. The company accrued $800 of rent expense and prepaid $20 of insurance expense. Expenses are paid by cash. 4. The opening balance of bank (cash) on the balance sheet is $1,000 Cr. and the ending balance is $5,650 Dr. 5. The company has made $4,000 of cash sale and $9,000 of credit sale. 1/3 of credit buyers have paid for their invoices. Income tax rate is tend to be 15% and tax is fully paid. 6. Interest expense is treated as operating cash outflow. What's the total cash flow from financing activities
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