Here is the statement of financial position for Ilvico Ltd as at 30 June 20x6:

Additional information:

1. On 30 June 20x6, property, plant and equipment that had cost R25 000 (and on which depreciation of R15 000 was provided) were sold for R5 000.

2. On 30 June 20x6, the company made a capitalisation issue of one ordinary share for every three held by the shareholders. For this purpose an amount of R75 000 was transferred from retained earnings.

3. On 15 December 20x5, an interim dividend of R17 500 was declared and paid.

4. On 30 June 20x6, a final dividend of R35 000 was declared.

5. The income tax expense for the year came to R25 000. Included in payables was the SARS: Income tax account with a closing balance of R3 750 and an opening balance of R2 500.

6. Interest paid during the year amounted to R15 000.

7. Revenue for the year amounted to R750 000.

You are required to:

Prepare the statement of cash flows and notes for the year ended 30 June 20x6.

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Ilvico Ltd STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 20x6 Notes 20x6 ASSETS Non-current assets Property, plant and equipment Accumulated depreciation Current assets Inventories Accounts receivable Cash and cash equivalents TOTAL ASSETS EQUITY AND LIABILITIES Capital and reserves Ordinary share capital Distributable reserves General reserve Retained earnings Non-current liabilities Long-term borrowings Current liabilities Short-term borrowings Accounts payable Shareholders for dividends TOTAL EQUITY AND LIABILITIES 6 7 2 3 400 000 00 685 000 00 (285 000 00) 00 685 000 325 000 00 285 000 00 75 000 00 1 085 000 00 652 500 00 400 000 00 135 000 00 117 500 00 175 000 00 175 000 00 257 500 00 000 222 500 00 35 000 00 1 085 000 00 20x5 400 000 00 625 000 00 (225 000 00) 550 000 00 265 000 00 225 000 00 60 000 00 950 000 00 525 000 00 325 000 00 100 000 00 100 000 00 100 000 00 100 000 00 325 000 00 45 000 00 250 000 00 30 000 00 950 000 00