QUESTION $1$

$(25$ Marks$)$

REQUIRED

Answer the questions below that are based on the Statement of Cash Flows for the year ended $31$ December

$2021$ provided above:

$1\mathrm{.}1$ Calculate the following:

$1\mathrm{.}1\mathrm{.}1$ Dividends paid

$1\mathrm{.}1\mathrm{.}2$ Cash and cash equivalents at the end of the year

$1\mathrm{.}1\mathrm{.}3$ Carrying$/$Book value of the vehicles sold

$1\mathrm{.}2$ Apart from depreciation $($R$252000),$ identify TWO $(2)$ other adjustments $($with the

amounts$)$ that would be needed to convert to cash from operations.

$(4$ marks$)$

$1\mathrm{.}3$ Comment on the following:

$1\mathrm{.}3\mathrm{.}1$ Cash flows from operating activities R$756000$

$(4$ marks$)$

$1\mathrm{.}3\mathrm{.}2$ Increase in receivables $($R$396000)$

$1\mathrm{.}3\mathrm{.}3$ Cash flows from investing activities $($R$1368000)$

QUESTION $2$

REQUIRED

$2\mathrm{.}1$ Use the statement of financial position as at $31$ December $2022,$ statement of comprehensive income

for the year ended $31$ December $2022$ and additional information for $2022($related to dividends and

shares$)$ to calculate the ratio $($expressed to two decimal places$)$ that would reflect each of the following:

$2\mathrm{.}1\mathrm{.}1$ The extent to which the claims of the short$-$term creditors are covered by assets that can

be translated into cash in the short term

$2\mathrm{.}1\mathrm{.}2$ The extent to which long$-$term debt is covered by shareholders' funds

$2\mathrm{.}1\mathrm{.}3$ The amount of funds available relative to sales, to pay the company's expenses other

than its cost of sales $($expressed as a percentage$)$

$(3$ marks$)$

$2\mathrm{.}1\mathrm{.}4$ The distributions during the period allocated to each ordinary share issued

$2\mathrm{.}1\mathrm{.}5$ An indication of the percentage of the profit that has been put back into the company

$2\mathrm{.}1\mathrm{.}6$ The ratio of a company's current stock price to its earnings per share

$2\mathrm{.}2$ Suggest TWO $(2)$ ways of making an improvement with regard to each of the following ratios:

$2\mathrm{.}2\mathrm{.}1$ Debtor collection period