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Prepare the Cash Flow Statement according to the indirect method

Prepare the Cash Flow Statement according to the indirect method

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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For the company "ALD Development S.A." Its balance sheet for the years 2021 and 2020 is given (all amounts are in euros): Plots Mechanical equipment Accumulated depreciation machine. Equipment Commodities finished stock Customers Promissory notes receivable Suppliers' advances Cash resources Total assets Share capital Results in re-employment Long-term liabilities (same loan) Suppliers Cheques payable Interest payable Total own funds and liabilities Also, the Balance sheet Company's Income Statement for the year 2021 is: Profit and loss statement Sales Cost of sales Other operating expenses Depreciation Loss from the sale of mechanical equipment Earnings before interest and taxes Interest debited Profit before tax Less: Income tax Net profit for the year 2020 (67.000) (16.000) (14.000) (3.000) 80.000 98.000 100.000 140.000 (25.000) (26.000) 25.000 33.000 45.000 17.000 30.000 20.000 3.000 6.500 51.000 35.000 309.000 323.500 145.000 11.000 51.000 30.000 70.000 2.000 309.000 215.000 2021 115.000 (7.000) 108.000 (6.000) 102.000 145.000 104.000 67.000 3.500 1.000 3.000 323.500 Additional information: 1. 9,000 dividends were paid 2. 60,000 mechanical equipment was purchased, while mechanical equipment worth 20,000 (with accumulated depreciation of 13,000) was sold at book value instead of 4,000 3. An amount of 16,000 was received from a bond loan. 1. Prepare the Cash Flow Statement according to the indirect method
Transcribed Image Text:For the company "ALD Development S.A." Its balance sheet for the years 2021 and 2020 is given (all amounts are in euros): Plots Mechanical equipment Accumulated depreciation machine. Equipment Commodities finished stock Customers Promissory notes receivable Suppliers' advances Cash resources Total assets Share capital Results in re-employment Long-term liabilities (same loan) Suppliers Cheques payable Interest payable Total own funds and liabilities Also, the Balance sheet Company's Income Statement for the year 2021 is: Profit and loss statement Sales Cost of sales Other operating expenses Depreciation Loss from the sale of mechanical equipment Earnings before interest and taxes Interest debited Profit before tax Less: Income tax Net profit for the year 2020 (67.000) (16.000) (14.000) (3.000) 80.000 98.000 100.000 140.000 (25.000) (26.000) 25.000 33.000 45.000 17.000 30.000 20.000 3.000 6.500 51.000 35.000 309.000 323.500 145.000 11.000 51.000 30.000 70.000 2.000 309.000 215.000 2021 115.000 (7.000) 108.000 (6.000) 102.000 145.000 104.000 67.000 3.500 1.000 3.000 323.500 Additional information: 1. 9,000 dividends were paid 2. 60,000 mechanical equipment was purchased, while mechanical equipment worth 20,000 (with accumulated depreciation of 13,000) was sold at book value instead of 4,000 3. An amount of 16,000 was received from a bond loan. 1. Prepare the Cash Flow Statement according to the indirect method
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