Peebody Enterprises Ltd’s statement of profit or loss contained the condensed information below.

Peebody Enterprises Ltd’s statement of financial position contained the following comparative data. 

Required

(a) Prepare the operating activities section of the statement of cash flows using the direct method.

(b) Prepare the operating activities section of the statement of cash flows using the indirect method, i.e. prepare a reconciliation of profit to cash provided by operations. 

Transcribed Image Text:

PEEBODY ENTERPRISES LTD Statement of profit or loss for the year ended 30 June 2015 Revenues Operating expenses, excluding depreciation Depreciation expense Loss on sale of equipment Profit before income tax Income tax expense Profit $873 600 84 000 36 400 $1176000 994 000 182 000 56 000 $ 126000