Following data for the financial year, 2022 has been extracted from the books of Firefox Ltd, a sole proprietor dealing in Melbourne. Assume that all purchases for stocks and relevant expenses fully match the sales revenues for the period and cash has either been received or paid where applicable.

Sales (All in cash)	180,000
General and administration expenses	42,000
Interest expense	3,000
Loan repayment (Principal)	5,000
Rent	15,000
Acquisition of computer	2,500
Receipts from selling his government bonds	5,000
Income Tax paid	1,000
Purchase (all in cash)	105,000
Drawings by Owner	12,000

Other information:

The cash balance of the business at the beginning of the financial year was $22,000.

Required:

Prepare the Cash flow statement for 2022 (showing the classifications of cash flows) and the Ending Cash Balance.

Answer rating: 100% (QA)

Here is the Cash Flow Statement for Firefox Ltd for the financial year 2022 Cash Flow Statement For ... View the full answer