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OT Qs Chapter 16: IAS 7 Statement of Cash Flows

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › OT Qs Chapter 16: IAS 7 Statement of Cash Flows

  • This topic has 3 replies, 2 voices, and was last updated 1 year ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • July 12, 2023 at 11:14 am #687871
    purple-iris
    Participant
    • Topics: 14
    • Replies: 13
    • ☆

    Hello Professor !
    Q:
    During the year to 30 April 20X7 Jaunty had purchased non-current assets which cost $687,000. The company financed the purchases by taking out loans totalling $597,000, and paying the balance in cash. In addition, non-current assets with a carrying amount of $75,000 were sold at a loss of $15,000.

    What figure should appear for net cash used in investing activities in the statement of cash flows for the year to 30 April 20X7? $_____

    The correct answer is $60000.

    The full cost of purchase of non-current assets is $687,000 (regardless of how it is financed) and proceeds from the sale of non-current assets is $60000 (75 ? 15)

    My answer is (627000) but the study hub shows the above one !
    kindly help me

    July 12, 2023 at 4:54 pm #687888
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54659
    • ☆☆☆☆☆

    The correct answer is indeed $627,000.

    It is a mistake in the Study Hub.

    July 13, 2023 at 9:56 am #687921
    purple-iris
    Participant
    • Topics: 14
    • Replies: 13
    • ☆

    Thank you sir so much! You are the best! 🙂

    July 13, 2023 at 4:35 pm #687939
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54659
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘OT Qs Chapter 16: IAS 7 Statement of Cash Flows’ is closed to new replies.

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