Financial statements of Leons Furniture Limited/Meubles Lon Lte Base your answers to the following questions on the

Financial statements of Leon’s Furniture Limited/Meubles Léon Ltée Base your answers to the following questions on the financial statements for Leon’s Furniture Limited/Meubles Léon Ltée in Exhibits 1.27A

In the questions below, the year 2020 refers to Leon’s fiscal year that ends December 31, 2020, and the year 2019 refers to the prior fiscal year ended December 31, 2019.

Required 

a. Determine the amount of dividends that Leon’s declared in 2020. On which financial statement(s)
did you find this information? 

b. Find the following amounts in the statements: 

i. Revenue in 2020 

ii. Cost of sales in 2020 

iii. Gross profit (as a dollar amount and as a percentage) in 2020 

iv. Selling, general, and administrative expenses in 2020 

v. Income tax expense in 2020 

vi. Net income in 2019 

vii. Trade receivables at the end of 2019 

viii. Inventories at the end of 2020 

ix. Trade and other payables at the beginning of the 2020 fiscal year 

x. Retained earnings at the end of 2020 

xi. Loans and borrowings at the beginning of 2020 (include the current portion) 

xii. Cash flows provided by operating activities in 2020 

xiii. Cash payments to purchase property, plant, and equipment in 2020 

xiv. Cash payments for dividends in 2020 

xv. Cash flows generated by (used in) financing activities in 2019 xvi. Cash payments to repurchase common shares in 2020 

c. List the two largest sources of cash and the two largest uses of cash in 2020. (Consider operating activities to be a single source or use of cash.) 

d. Suggest two reasons why net income was $163,250 thousand in 2020, yet cash provided by operating activities was $511,424 thousand. 

e. During 2020, total revenue was approximately $63,231 thousand lower than in 2019. However, net income in 2020 was $56,321 thousand higher than in 2019. Examine the consolidated statements of income and explain how this was possible.

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LEON'S FURNITURE LIMITED Consolidated Statement of Financial Position (C$ in thousands) Assets Current assets Cash and cash equivalents Restricted marketable securities Debt securities Equity securities Trade receivables Income taxes receivable Inventories Deferred acquisition costs Prepaid expenses and other assets Other assets Total current assets Non-current assets Deferred acquisition costs Loan receivable Property, plant and equipment Investment properties Intangible assets Goodwill Deferred income tax assets Total non-current assets Total assets Notes 5 Notes 67 22 7 15 8 9 10 10 20 As at December 31, 2020 $368,635 2,451 73,565 As at December 31, 2020 48,634 130,582 4,266 332,072 10,725 11,095 982,025 17,614 12,721 714,423 16,212 270,481 390,120 14,993 1,436,564 $ 2,418,589 As at December 31, 2019 $ 89,032 5,777 65,859 As at December 31, 2019 42,286 140,535 3,578 334,443 10,994 9,273 625 702,402 16,870 13,053 720,794 16,633 271,810 390,120 14,779 1,444,059 $ 2,146,461