Solution-Prepare cash flow statement using direct method

Prepare cash flow statement using direct method

Assignment Help Accounting Basics

Reference no: EM132842867

Problem - The below statements are related to POR company.

Statements of Financial Position as at 30 June

	2019	2018
Asset
Cash at bank	22000	0
Accounts receivable	22000	18000
Inventory	88000	56000
Equipment	56000	46000
Accumulated depreciation - equipment	-24000	-16000
Land	35000	50000
Buildings	75000	75000
Accumulated depreciation - buildings	-15000	-10000
Total assets	259000	219000
Liabilities
Accounts payable	45000	39000
Equity
Share capital	204000	174000
Retained earnings	10000	6000
Total liabilities and equity	259000	219000

Statements of Profit & Loss - as at 30 June

Income
Sales revenue			112500
Less: Expenses:
Cost of sales:
Beginning inventory	56000
Add: Purchases	92000
Less: Ending inventory	88000	60000
Depreciation - equipment		8000
Depreciation - buildings		5000
Interest expense		3500
Other expenses		14000
			90500
Profit for the year			22000

Required - Prepare Cash flow statement using direct/Indirect method.

Reference no: EM132842867

Questions Cloud

Did you feel the students were engaged in the learning : Small group instruction can allow a teacher to focus on reinforcement of concepts or to easily observe students during a given activity.

What is the structure of the federal bureaucracy : What is the structure of the federal bureaucracy? In your opinion, should the federal bureaucracy be considered, as it is by some, as the "real government"?

How each level of government is or is not affected : How the policy you chose affects U.S. implementation of isolationism or internationalism, and describe how the media influences such action and decisions.

Is the ap system an adequate program to prepare students : From this week's readings, the Advanced Placement tests (AP tests) are fiercely debated, with some prestigious private schools opting out of offering.

Prepare cash flow statement using direct method : The below statements are related to POR company. Statements of Financial Position as at 30 June. Prepare Cash flow statement using direct method

Reflect on your involvement with digital media : Reflect on your involvement with digital media. How many devices do you own? How much of the time is at least one device on? How often are you totally.

Describe the decade of roaring twenties : The "Jazz Age," the "Roaring Twenties," the "Turbulent Twenties," and the "Dollar Decade" all describe the decade of the 1920s

How do your choices of mass media reflect your identity : Make a list of the forms of mass media you use most often. Include newspapers, books, magazines, television, types of films, radio, and so forth.

Calculate the wacc for abc property company : Please find the below financial information, and calculate the WACC for the ABC Property Development Company; And explain why is useful to calculate the WACC fo

User Account

All Pages

Prepare cash flow statement using direct method

Reference no: EM132842867

Reference no: EM132842867

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT