The balances of selected accounts of Grey Ltd at 30 June 2020 and 30 June 2021...

  

 

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The balances of selected accounts of Grey Ltd at 30 June 2020 and 30 June 2021 are: 2021 2020 $000 $000 Sales (all on credit) Cost of goods sold Doubtful debts expense 750 1,050 390 330 75 90 Interest expense 60 90 Salaries 90 75 Depreciation Gain on sale of plant 25 45 10 20 Cash 155 Inventory Accounts receivable 540 480 800 750 Allowance for doubtful debts 80 105 Land 450 450 Plant 300 270 Accumulated depreciation yable 65 90 Accounts 600 570 Accrued salaries 66 54 Long-term loan Share capital 258 330 400 400 Additional information: (a) Dividends of $50 000 were paid during the year ending 30 June 2021. Plant with a carrying amount of $30 000 (original cost $80 000 and accumulated depreciation $50 000) was sold during the year and new plant was acquired. (b) Required: Prepare the Statement of Cash Flows and all supporting notes for the year ending 30 June 2021 on the following page. 2$ 2$ Note 1: Reconciliation of net cash from operating activities to net profit after tax Note 2: Reconciliation of cash and cash equivalents 2020 2021 ODO The balances of selected accounts of Grey Ltd at 30 June 2020 and 30 June 2021 are: 2021 2020 $000 $000 Sales (all on credit) Cost of goods sold Doubtful debts expense 750 1,050 390 330 75 90 Interest expense 60 90 Salaries 90 75 Depreciation Gain on sale of plant 25 45 10 20 Cash 155 Inventory Accounts receivable 540 480 800 750 Allowance for doubtful debts 80 105 Land 450 450 Plant 300 270 Accumulated depreciation yable 65 90 Accounts 600 570 Accrued salaries 66 54 Long-term loan Share capital 258 330 400 400 Additional information: (a) Dividends of $50 000 were paid during the year ending 30 June 2021. Plant with a carrying amount of $30 000 (original cost $80 000 and accumulated depreciation $50 000) was sold during the year and new plant was acquired. (b) Required: Prepare the Statement of Cash Flows and all supporting notes for the year ending 30 June 2021 on the following page. 2$ 2$ Note 1: Reconciliation of net cash from operating activities to net profit after tax Note 2: Reconciliation of cash and cash equivalents 2020 2021 ODO