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cash flow

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › cash flow

  • This topic has 1 reply, 2 voices, and was last updated 6 years ago by P2-D2.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • July 6, 2018 at 5:43 pm #461152
    adarsh1997
    Participant
    • Topics: 646
    • Replies: 282
    • ☆☆☆☆

    Hello.

    Finance costs (60)
    5% loan notes
    20×1=$515
    20×2=$500

    Lease liabilities
    20×1=$300
    20×2=$310

    $40,000 of the finance costs relate to the loan notes which are repayable at a premium, making the effective rate of interest 8%. The remaining interest relates to the lease liabilities.

    What will be recorded in Depay’s statement of cash flows under interest paid?

    -The answer is $45,000
    -Kindly help on how to obtain the answer.

    Thanks.

    July 8, 2018 at 7:44 pm #461330
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7163
    • ☆☆☆☆☆

    Hi,

    I think instead of me going through the answer in its entirety, it will be better for your learning if you explain what it is about the answer that you have that you do not understand.

    Once you’ve done that then I can answer your query.

    Thanks

  • Author
    Posts
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