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XYZ Company has asked for your assistance in preparing its cash flow statement for 20X3. Among other items, listed below are the transactions: 1.Investment by

XYZ Company has asked for your assistance in preparing its cash flow statement for 20X3. Among other items, listed below are the transactions:

1.Investment by owner: $6000

2.Payments to employees: $16 200

3.Receipt from sale of investments: $2600

4.Ending cash balance: $14 600

5.Payments for inventory: $12 000

6.Cash collected from customers: $34 800

7.Withdrawals by owner: $3600

8.Payment for purchase of warehouse: $18 400

9.Payment of interest: $1000.

Required:

A.Prepare the business' 20X3cash flow statement.

B.If the average owner's equity was $31 000, calculate the business's cash return on owner's equity.

CWhat is your evaluation if last year the business's cash return was 17.2 per cent?

Note: Show formula and calculations.

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