The statements of financial position of Radar plc at 30 September were as follows: The following information

Question:

The statements of financial position of Radar plc at 30 September were as follows:

The following information is available:
(i) An impairment review of the investments disclosed that there had been an impairment of £20,000.
(ii) The depreciation charge made in the statement of comprehensive income was £64,000.
(iii) Equipment costing £72,000 was sold for £54,000 which gave a profit of £16,000.
(iv) The debentures redeemed in the year were redeemed at a premium of 25%.
(v) The premium paid on the debentures was written off to the share premium account.
(vi) The income tax expense was £92,000.
(vii) A dividend of £25,000 had been paid and dividends of £17,000 had been received.

Required:
Prepare a statement of cash flows for the year ended 30 September using the indirectmethod.

Debentures
Debenture DefinitionDebentures are corporate loan instruments secured against the promise by the issuer to pay interest and principal. The holder of the debenture is promised to be paid a periodic interest and principal at the term. Companies who... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...