Course : Financial Reporting 1

Q 4) During 2017, a company made a profit before taxation of Rs. 60,000. Depreciation charges were Rs.25,000 and there was a gain on the disposal of a machine of Rs.14,000. Interest charges and payments of interest in the year were the same amount, Rs.10,000. Taxation payments were Rs.17,000. Values of working capital at the beginning and end of the year were: Beginning of the year End of the year Receivables Inventory Trade payables (Rs.) (Rs.) (Rs.) 32,000 49,000 17,000 27,000 53,000 11,000 Required: Calculate the net cash from operating activities as it would be shown in a statement of cash flows (indirect method)