Additional information:

1. The building was revalued during the year

2. Equipment costing $25,000 for which there a provision for depreciation of $5,500 was sold for a profit of $6,000

3. Dividends paid and proposed for the year amounted to $27,000

Required:

(a). Prepare the Statement of Cash flows for the year ended 31 December 2012.

(b). Does the statement of cash flows prepared express any concern you have about the company's liquidity?

I need help. Please show all workings.

The New York Department Store produced the following data for 2012: STATEMENT OF FINANCIAL POSITION AS AT DECEMBER 31, Non-Current Assets Goodwill Building Equipment Long Term Investments CURRENT ASSETS Stock Short Term Investment Debtors Bank Cash EQUITY & LIABILITIES Capital & Reserves Share Capital ($1 Ord Shares) Share Premium Revaluation Reserve General Reserves Retained Earnings Non-Current Liabilities 10% Debenture CURRENT LIABILITIES Creditors Tax Payable Interest Payable Dividends Payable 2011 $ COST $ $ DEPN NBV 40,000 300,000 300,000 155,000 35.000 120.000 455,000 35,000 460,000 12,000 22,000 15,000 18,500 200 120,000 580,000 11,500 22,000 10,000 22,000 67,700 647.700 180,000 25,000 0 22,500 120,000 347,500 234,700 65,500 647.700 2012 $ $ COST DEPN 450,000 180,000 42.000 630,000 42,000 18,000 25,000 12,000 0 1,700 $ NBV 15,000 10,000 8,500 20,000 25,000 450,000 138.000 613,000 140,000 753,000 56,700 809,700 225,000 40,000 150,000 55,000 195,000 665,000 91,200 53,500 809,700