[learnmore86]

Thank you.

[learnmore86]

Thank you. How in the book said interest paid is 24000
But my working is showing 17000
Finally I solved it except I can’t reach interest paid

Cash flow statements

Cash flow from operating activities
$000
Net profit before tax 163
Deduction 85
loss sale of NC Assets 5
Income investment (72)
Finance cost. 22
Result : op. Profit before working cap. Change 203
increase in account receivables (16)
Decrease in inventories 7
Decrease in account payables (2)
Result: cash generated from operation 192
? interest paid (17000)
tax paid (62)
?Result: Net cash from operating activities 99
Cash flow from investing activities
Purchase of NC Assets (178)
Sales proceeds of NC Assets 60
Interest received 15
dividend received 50
Result : Net cash from investing acrivities. ( 53)
Cash flow from financing activities
proceed from issue of shares 106
Repayment of debenture loan (100)
Dividend paid (35)
Result :net cash from financing activities (29)
?Change in cash and cash equivalent. 17
Cash and cash equivalent b/f 18
Cash and cash equivalent c/f. 42

[learnmore86]

HI. Thank you for your full detailed answer. This question is in the Kaplan F3. Chapter 17. Test 1.
There is an answer under statement of changes in equity (page 319), but I was so confused to understand that it’s an adjustment from the Trial balane and actually there is some part of the answer in the question(in the Trial balance ). I thought I have to recalculate and write down again.

The answer in the book says

?the issue of 400 shares for $8000 means they were issued at $2 each. If ….

My apology , I became blind and I was only thinking of $2 ??how, from where .???..

However, now I understood it

Thank you for your help again.

[learnmore86]

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