- Cash flows an optional financial statement. Do you agree? Explain What questions about cash are answered by the statement of cash flows? b) Tulloch Lid's comparative statements of financial position and statement of profit or loss and other comprehensive income for the year ended 30 June 2018 as given below Introduction to Financial Accounting ACT 12 Assement 2021 Page 3 of 8 TULLOCH LTD Congrative statement franco 2018 2017 $ 35 000 5 000 3200 $21000 4300 2 500 24650 18 900 (1 250) (950) 47100 48300 ASSETS Cash at bank Bankbils Deposits at cal Accounts receivable Adowance for doubtful debits Inventory Prepaid expenses Interest rechable Share investments Land Buildings Accum. depreciation - buildings Equipment 5400 300 2100 900 17 000 33 900 35 000 180 000 35 000 120 000 (47250) 77 400 (34 800) 6.100 $267.000 (52 200) 90 000 (28 950) 2200 $ 358 750 Accum. depreciation equioment Patents (indefinite) LIABILITIES AND EQUITY $ 49 200 1 000 $46280 700 4890 4170 2000 7200 Accounts payable Trade bib payable Expenses payable Interest payable Current tax liability Final dividend payable Mortgage loan Debentures (10%) Share capital (ordinary shared $1) Retained wings 1500 7500 16 000 17 400 20 000 96 500 147 720 22.00 $363750 5 000 92.450 33.000 52872400 TULLOCH LTD Statement of Profit or loss and Other Comprehensive Income for year ended 30 ure 2016 INCOME Sales Interest income Dividend income $ 693 000 2 180 3600 1 050 11 300 711 130 Discount received Gain on sale of share investments EXPENSES $ 466 000 1 400 800 Cost of sales Bad debts expense Loss on sale of equipment Depreciation - equipment Depreciation - buildings Discount allowed Interest expense Other expenses Profit before income tax 5 250 4950 475 9 200 209 475 697 550 13 580 Z 200 $6380 Income tax expense PROFIT Additional information (a) New equipment was purchased at a cost of $33 700, paid in cash. (b) Equipment that cost S21 100 and had a carrying amount of S10 000 was sold for cash. (c) Additions to buildings were partly funded by a mortgage loan. (d) Debentures were issued at nominal value (550) for cash. (e) Share investments with a carrying amount of S16 100 were sold for cash at a profit. The company was given permission to pay income tax in one instalment, No interim dividends were paid during the year. Required A. Prepare the statement of cash flows for Tulloch Lid for the year ended 30 June 2018 using indirect method