cash flow

Statements of financial position as at: 30 September 20X5 30 September 20X4 $'000 $'000 Property, plant and equipment (note (ii)) 10,600 15,800 Non–current liabilities Finance lease obligations (note (ii)) 2,000 1,700 Deferred tax 200 500 Government grants (note (ii)) 1,400 900 current liablity Government grants (note (ii)) 600 400 Finance lease obligations (note (ii)) 900 800 (ii) The details of the property, plant and equipment are: Acc'd Carrying Cost depreciation value $'000 $'000 $'000 At 30 September 20X4 20,200 4,400 15,800 At 30 September 20X5 16,000 5,400 10,600 During the year Tabba sold its factory for its fair value $12 million and agreed to rent it back, under an operating lease, for a period of five years at $1 million per annum. At the date of sale it had a carrying value of $7.4 million based on a previous revaluation of $8.6 million less depreciation of $1.2 million since the revaluation. The profit on the sale of the factory has been included in operating profit. The surplus on the revaluation reserve related entirely to the factory. No other disposals of non–current assets were made during the year. Plant acquired under finance leases during the year was $1.5 million. Other purchases of plant during the year qualified for government grants of $950,000. Amortisation of government grants has been credited to cost of sales sir regarding to govt grants what will go to cash flow and what should be treated as sale amount to plant and profit