Following data for the financial year, 2022 has been extracted from the books of Firefox Ltd, a
Question:
Following data for the financial year, 2022 has been extracted from the books of Firefox Ltd, a sole proprietor dealing in Melbourne. Assume that all purchases for stocks and relevant expenses fully match the sales revenues for the period and cash has either been received or paid where applicable.
Sales (All in cash) | 180,000 |
General and administration expenses | 42,000 |
Interest expense | 3,000 |
Loan repayment (Principal) | 5,000 |
Rent | 15,000 |
Acquisition of computer | 2,500 |
Receipts from selling his government bonds | 5,000 |
Income Tax paid | 1,000 |
Purchase (all in cash) | 105,000 |
Drawings by Owner | 12,000 |
Other information:
The cash balance of the business at the beginning of the financial year was $22,000.
Required:
Prepare the Cash flow statement for 2022 (showing the classifications of cash flows) and the Ending Cash Balance.
Frank Woods Business Accounting
ISBN: 9780273759287
12th Edition
Authors: Frank Wood. Sangster, Alan