The following information is extracted from the income statement and the balance sheet of ABC PLC.

ABC PLC

Statement of Cash Flows for the year ended 31 December 2013

	2017	2016
	USD	USD
Impairment losses	12,000	3,000
Bad debts written off Proceeds	500	-
from disposal of investments	2,500	2,200
Gain on
disposal of fixed assets	(1,200)	(1,850)
Issuance of share capital	1000,000	-
(Increase) /
Decrease in inventory	(1,000)	550
Decrease in trade receivables	3,000	1,400

Increase /
(Decrease) in trade payables	2,500	(1,300)
Cash
generated from operations	39,600	41,300
Dividend paid	(8,000)	(6,000)
Income tax paid	(12,000)	(10,000)
Net cash
from operating activities (A)	19,600	25,300
Purchase of investments	(25,000)	-
Interest received Proceeds	3,500	1,000
from disposal of fixed assets	18,000	5,500
Interest expense	800	1,000
Dividend received	5,000	3,000

Gain on

revaluation (21,000) ^- of investments

Interest (11,000) ^(9,500)

income

Dividend (3,000) ^(2,500)

income

Net cash

used in (96,000) (73,300) investing activities

Bank loan 100,000

-

received

(100,000) -

Repayment of bank loan

Interest (3,600) ^(7,400)

expense

10,000 8,000

Depreciation

8,000 7,500

Amortizatio

Required:

Prepare the cash flow statement according to the indirect method

Calculate net increase in cash & cash equivalents