The Income Statement for the year ended on 30 June, 2020 of Asghar Trading Company is...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The Income Statement for the year ended on 30 June, 2020 of Asghar Trading Company is as follows. Income Statement for the year ended 30-06-2020 Sales Revenues Less Cost of Goods Sold Selling and admin expenses Other expenses Net income before tax Less income tax Net income after tax a) b) c) Rs. 570,000 Rs. 218,000 Rs. 6,500 d) e) f) Rs. 1,280,000 Following additional information was also available: Depreciation of Rs. 15,500 was included in the selling and admin expenses Other expenses include the bad debts of Rs 3,000 Rs. 794,500 Rs. 485,500 Rs. 145,650 Rs. 339,850 Accounts receivables were increased by Rs. 118,000 at the end of the year. The opening cash balance was Rs. 70,500. Accounts payable were increased by Rs. 70,800 at the end of the year. Inventories were increased by Rs. 125,000 at the end of the year. Tax payable was decreased by Rs. 22,000 at end of the year. 60 h) i) j) k) 1) Salaries payable of selling staff were decreased by Rs. 23,000 at end of the year. Dividend of Rs. 120,000 was paid to stockholders. Plant amounting to Rs. 250,000 was purchased during the year. Debentures amounting to Rs. 400,000 were issued during the year. Old motor car was sold at Rs. 122,000 at cash. A motor cycle for marketing staff was purchased at Rs. 130,000. Required: Prepare cash flow statement at end of the year under direct and indirect method approaches for operating, investing and financing activities. The Income Statement for the year ended on 30 June, 2020 of Asghar Trading Company is as follows. Income Statement for the year ended 30-06-2020 Sales Revenues Less Cost of Goods Sold Selling and admin expenses Other expenses Net income before tax Less income tax Net income after tax a) b) c) Rs. 570,000 Rs. 218,000 Rs. 6,500 d) e) f) Rs. 1,280,000 Following additional information was also available: Depreciation of Rs. 15,500 was included in the selling and admin expenses Other expenses include the bad debts of Rs 3,000 Rs. 794,500 Rs. 485,500 Rs. 145,650 Rs. 339,850 Accounts receivables were increased by Rs. 118,000 at the end of the year. The opening cash balance was Rs. 70,500. Accounts payable were increased by Rs. 70,800 at the end of the year. Inventories were increased by Rs. 125,000 at the end of the year. Tax payable was decreased by Rs. 22,000 at end of the year. 60 h) i) j) k) 1) Salaries payable of selling staff were decreased by Rs. 23,000 at end of the year. Dividend of Rs. 120,000 was paid to stockholders. Plant amounting to Rs. 250,000 was purchased during the year. Debentures amounting to Rs. 400,000 were issued during the year. Old motor car was sold at Rs. 122,000 at cash. A motor cycle for marketing staff was purchased at Rs. 130,000. Required: Prepare cash flow statement at end of the year under direct and indirect method approaches for operating, investing and financing activities.
Expert Answer:
Answer rating: 100% (QA)
Asghar Trading Company Cash Flow Statement For the year ended 30 June 2020 Rs in 000 Direct method Operating activities Net cash inflow from operating ... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
a) In order to improve health care delivery in Ghana, among other things, the Government of Ghana in 2012 signed a contract with an Israeli construction company - Messrs Engineering and Development...
-
Patient Health is an outpatient surgical clinic that was profitable for many years, but Medicare has cut its reimbursements by as much as 50%. As a result, the clinic wants to better understand its...
-
Health Care Knowledge Systems reported that an insured woman spends on average 2.3 days in the hospital for a routine childbirth, while an uninsured woman spends on average 1.9 days. Assume two...
-
Climate-change concerns are resulting in investment in fuels that dont produce greenhouse gases. Although solar and wind power garner a lot of attention, nuclear power from uranium is also a...
-
Describe a potential timing issue that can occur early in a project and a potential timing issue that can occur at the end of a project. How would you address each of these issues in your project?
-
King Finance Corporation, headquartered in New York, wants to assign three recently hired college graduates, Julie Jones, Al Smith, and Pat Wilson, to regional offices. However, the firm also has an...
-
Two people differ in age by 1.5 years. Their heights and weights are the same, and their lung capacities are measured at the same pressure and temperature. By how much should we predict their lung...
-
What key reporting options are available to government colleges and universities?
-
Explain the promotion used in Apple MacBook Air (M2), where, and how? Do you agree with the current promotion? Why or why not
-
The Shop at Home Network sells various household goods during live television broadcasts. The company owns several warehouses to hold many of the goods it sells, but also leases extra warehouse space...
-
What is the average current that flows when a 5 0 mL solution of 0 . 0 1 M Ni 2 + is completely reduced into nickle metal in 1 0 min?
-
Interest Payment Date Cash Payment Amount Dec 31, 2021 $840,000 Decrease Interest in Expense Discount Discount $911,169 Dec 31, 2022 $840,000 $916,151 Book Value $71,169 $912,133 $13,087,867 $76,151...
-
Problem 5-47 Amortizing Loans and Inflation (LO3) Suppose you take out a $108,000, 20-year mortgage loan to buy a condo. The interest rate on the loan is 5%. To keep things simple, we will assume you...
-
The increasing volatility in the global economy has caused investors to seek out safer investments alternatives. Risk is inevitable in all investments. A capital budget is used to help investors plan...
-
In understanding neurodevelopmental and neurocognitive disorders, what stigmas have you observed being intentionally or as a collateral consequence created by state/school policies that work as a...
-
Annette commenced trading on 1 October 2017, preparing her accounts to 30 June. The adjusted profits for the first 3 accounting periods have been agreed as follows: Period to 30 June 201812,150 Year...
-
Hotel Company Revenues $ 10,548 Cost of sales 8,147 Interest expense 1,245 Net income 854 Cash 445 Total assets 9,550 Total liabilities 6,772 Shareholders' equity $ 2,778 Given the information for...
-
Find a polar equation for the curve represented by the given Cartesian equation. 4y 2 = x
-
What is Harrys marginal cost of tennis if he plays for (i) 3 hours a week; (ii) 5 hours a week; (iii) 7 hours a week?
-
Draw a graph to show how the price of a car, the quantity of cars bought, the quantity of cars produced in Australia, and the quantity of cars imported into Australia changed.
-
The table gives the demand and supply schedules for chocolate brownies. a. If brownies are not taxed, what is the price of a brownie and how many are bought? b. If sellers are taxed 20 a brownie,...
-
A common-size income statement for Liberty would report (amounts rounded) a. Net income of \(16 \%\) b. Cost of sales at \(36 \%\) c. Sales of \(100 \%\) d. All the above
-
During 2005 , Liberty's days' sales in receivables ratio was a. 39 day's b. 37 day's c. 35 day's d. 30 days
-
The company has 2,500 shares of common stock outstanding. What is Liberty's earnings per share? a. 2.04 b. 3.6 times c. \(\$ 1.22\) d. \(\$ 3.05\)
Study smarter with the SolutionInn App