ABC Ltd is a private company with 8 shareholders, running a boutique organic supermarket. The following reflects cash flow and other activities for ABC Ltd for the year ended 30 June 2023

Paid for equipment 53,000

Depreciation on equipment 12,000

Dividend received 1,000

Paid dividend 15,000

Paid rent 2,000

Paid employee salaries 30,000

Cash paid for inventory 20,000

Receipt from cash sales of 6,500

Receipts from debtors 40,000

Receipt from share issue 20,000

Paid back long-term loan of 12,000

Paid interest on loan 430

A) Complete the cash flows from the operating activities section of the statement of cash flows for the year ended 30 Jun 2023

B) define cash flows from investing activities and financing activities.

C) briefly evaluate the operation section of the statement of cash flows for ABC Ltd using Deegan’s accountability model. Identify one decision that this information may impact.

Answer rating: 100% (QA)

A To complete the cash flows from the operating activities section of the statement of cash flows for ABC Ltd for the year ended 30 June 2023 we need to calculate the net cash flow from operating acti... View the full answer