The BGD Co. had the following data at the end of 2018: Balance Sheet as at December
Question:
The BGD Co. had the following data at the end of 2018:
Balance Sheet as at December 31
2017 2018
Non-current Assets Cost Depn NBV Cost Depn NBV
Goodwill 100,000 50,000
Building 260,000 260,000 260,000 260,000
Equipment 210,000 15,000 195,000 290,000 35,000 255,000
Current Assets
Stock 22,000 20,000
Short Term Investment 15,000 30,000
Debtors 22,000 13,000
Bank 10,000 0
Cash 12,000 81,000 9,000 72,000
636,000 637,000
Equity & Liabilities
Capital & Reserve
Share Capital ($1 Ord Shares) 220,000 200,000
Share Premium 15,000 15,000
General Reserves 37,000 47,000
Retained Earnings 121,000 393,000 257,000 519,000
Non-Current Liabilities
10% Debenture 202,000 47,000
Current Liabilities
Creditors 17,000 24,000
Bank overdraft 0 6000
Tax Payable 14,000 20,000
Dividends 10,000 41,000 21,000 71,000
636,000 637,000
Condensed Income Statement
Sales 950,000, Gross profit 550,000, profit before tax 325,000, tax (145,000), profit after tax 180,000, dividends (34,000), transfer to reserve (10,000), profit for the year 136,000, retained earnings b/d 121,000, retained earnings c/d 257,000
Notes: During the year equipment costing 40,000 with a book value of 30,000 was sold for 35,000. Please note that PBIT for the year is $329,700 and the tax paid in the current year is $139,000 (you do not need to compute these amounts)
Required: Prepare the cash flow statement for the year.
