Reference no: EM132746101
Cash Flow from Operating Activities
The following information is available for a company, Ted Limited:Particulars
Amount
Received interest ?37,000
Paid cash dividends ?29,000
Borrowed a five-year loan ?12,00,000
Profit after tax ?4,50,000
Depreciation and amortisation ?1,25,000
Increase in current assets ?3,05,000
Purchased a new building ?8,00,000
Sale of machinery ?2,50,000
Purchased new equipment ?2,20,000
Investment in the shares of Stew Limited ?1,00,000
Decrease in current liabilities ?2,35,000
Dividend received ?5,000
Income taxes paid ?25,500
Income tax expense ?25,500
Problem 1: Calculate Ted Limited's cash flow from operating activities