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in the question of Jocatt statment of P/L q,dec 2010
gain on property 10.5
But in the solution of cashflow this is not deducted from profit before tax nor its taken in the calculation of property plant and equipment.its a gain on disposal/ profit on disposal which is a figure of nine, if you compute the profit on disposal u ll see its 9 and they deducted it from the profit as profit from disposal. The other figure i forgot which adustment it was but when you add the 9 + the 1.5 it makes u 10.5 as shown the p/l statement
ahh yeah i just checked my book the 1.5 is a gain on the investment property. I hope this helped you, IF you check your answer, ull notice that both figures were deducted since they r non cash flow items
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