URGENT URGENT ANSWER NEEDED

Question 4

Kasih Sayang Sdn Bhd
Statement of profit or loss for the year ending 31 December 2020
						RM				RM
Gross profit										100,000
Add		Reduction in allowance for doubtful debt				300				300
										100,300
Less expenses
		Wages & salaries				21,500
		Equipment running cost				8,000
		Motor vehicle expenses				6,000
		Depreciation: Motor vehicles				1,200
		Depreciation: Equipment				1,300
		Loss on sale of equipment				1,000				39,000
										61,300
Statement of Financial Position as at 31 December 2020
					2019				2020
				RM	RM		RM		RM
Non-current Assets
	Equipment at cost			40,400			30,800
	Less Depreciation to date			-24,600	15,800		-20,600		10,200
	Motor vehicles at cost			28,300			28,300
	Less Depreciation to date			-9,200	19,100		-14,400		13,900
					34,900				24,100
Current Assets
	Inventory			50,000			55,600
	Accounts receivable less allowance			21,200			19,800
	Bank			20,000	91,200		37,800		113,200
Total assets					126,100				137,300
Current liabilities
	Accounts payable			14,300			17,500
Non-current liabilities
	Loan from Bank			20,000	34,300		10,000		27,500
Capital
	Opening balance b/d			65,600			86,500
	Add Net profit			58,200			61,300
	Less Drawings			-32,000	91,800		-38,000		109,800
Total equity and liabilities					126,100				137,300

Additional information:

• Accounts receivable 2019 RM22,100 less allowance RM900

• Accounts receivable 2020 RM20,500 less allowance RM700

• Equipment was sold for RM15,800 during 2020. Equipment costing RM18,100 was purchased during the year.

Required:

Construct a statement of cash flows for Kasih Sayang Sdn Bhd for the year ending 31 December 2020, using indirect methods and according to the IAS 7 layout.

(Total: 25 marks)