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(a) The entity sold some tangible non-current assets, which had a net book value of $200 million. The cost of sales figure includes a loss of $10 million on this disposal. (b) Cost of sales is arrived at after charging depreciation on the tangible non-current assets of $42 million. (c) Dividends paid during the year were $55,000. Find cashflow from investing activities

(a) The entity sold some tangible non-current assets, which had a net book value of $200 million. The cost of sales figure includes a loss of $10 million on this disposal. (b) Cost of sales is arrived at after charging depreciation on the tangible non-current assets of $42 million. (c) Dividends paid during the year were $55,000. Find cashflow from investing activities

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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(a) The entity sold some tangible non-current assets, which had a net book value of $200 million. The cost of sales figure includes a loss of $10 million on this disposal.

(b) Cost of sales is arrived at after charging depreciation on the tangible non-current assets of $42 million.

(c) Dividends paid during the year were $55,000.

Find cashflow from investing activities

20X1 20X0 $m $m $m Sm Non-current assets Tangible assets 1,580 1,000 Current assets Inventory Receivables 250 130 450 360 Prepaid distribution costs 4 Cash at bank and in hand 220 144 2,504 1,636 Capital and reserves Issued share capital Share premium account Revaluation reserve Accumulated profits 120 100 88 49 203 130 877 315 1,288 594 Non-current liabilities Loans 800 700 Deferred tax 10 7 810 707 Current liabilities Trade payables 374 310 Accrued 6 3 administrative expenses Income tax 26 22 406 335 2,504 1,636
Transcribed Image Text:20X1 20X0 $m $m $m Sm Non-current assets Tangible assets 1,580 1,000 Current assets Inventory Receivables 250 130 450 360 Prepaid distribution costs 4 Cash at bank and in hand 220 144 2,504 1,636 Capital and reserves Issued share capital Share premium account Revaluation reserve Accumulated profits 120 100 88 49 203 130 877 315 1,288 594 Non-current liabilities Loans 800 700 Deferred tax 10 7 810 707 Current liabilities Trade payables 374 310 Accrued 6 3 administrative expenses Income tax 26 22 406 335 2,504 1,636
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