The comparative statement of financial position of the partnership of Murray and Darling as at 30 June 2019 and 30 June 2020 were as follows.

Additional information 

1. Each partner’s retained earnings account has been credited with a salary of $12 000 as part of their profit distribution.

2. Drawings in cash for each partner in anticipation of profits amount to the following.

3. A motor vehicle that cost $9200 and had been written down to $3100 was sold for $3750.

4. Expenses involving a flow of cash amounted to $75 000.

5. Sales for the year were $300 000 and cost of sales was $184 050.

Required

Prepare a statement of cash flows for the partnership for the year ended 30 June 2020 using the direct method.

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CURRENT ASSETS Cash at bank Accounts receivable (net) Bills receivable Inventory NON-CURRENT ASSETS MURRAY AND DARLING Comparative Statements of Financial Position as at 30 June 2019 $ 100 83 400 5200 56300 $145000 2020 $ 300 90000 3800 64700 $158 800 Furniture and equipment 42 000 47 500 Accumulated depreciation Motor vehicles (6 400) 36 800 Accumulated depreciation (8200) 64 200 (7 200) 27600 (8500) 59 400 $209 200 CURRENT LIABILITIES Bank overdraft 26000 Accounts payable 23 600 4000 25 500 $218200 Murray, Advance 10 000 59 600 8000 37 500