Chelsea Limited Statement of Cash Flow For the Year Ended December 31, 2021 Cash Flow from Operating Activities: Profit before Interest and Tax $1,024,000 Use the information provided below to prepare the Cash Flow Statement of Chelsea Limited for the year ended 31 December 2021. LIST OF BALANCES FROM THE STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER: Adjustments for non cash Items: INFORMATION 2021 (R) 2020 (R) Depreciation on buildings $ 96,000 $ 160,000 $ 256,000 Depreciation on plant and machinery PEPSICO LIMITED Land and buildings 1 760 000 1504 000 Changes in Working Capital: Plant and machinery 992 000 848 000 $ 16,000 $ (152,000) $ (64,000) $ (200,000 STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER: Decrease in Inventories 24 Increase in Accounts Receivable 2021 (R) 2020 (R) Investments 240 000 Decrease in Accounts Payable Inventories 384 000 400 000 $1,080,000 $ (64,000 $ (192,000 Sales 3312 000 2 800 000 Cash Flow from Operations Less: Interest Paid Accounts receivable Cost of sales (1616 000) (1 560 000) 408 000 256 000 Less: Income Tax Paid Cash and cash equivalents Net Cash Flow from Operating Activities $ 824,000 72 000 64 000 Gross profit 1 696 000 1240 000 Cash Flow from Investing Activities: Purchase of Land and Building Purchase of Plant and Machinery Selling and administrative expenses (672 000) (568 000 Ordinary share capital 1600 000 1600 000 $ (352,000) $ (304,000) $ (240,000) Operating profit 1024 000 672 000 Retained earmings 896 000 480 000 Purchase of Investments Interest expense (64 000) (32 000) Long-term loan 640 000 320 000 Net Cash Flow from Investing Activities $ (896,000 Accounts payable 384 000 448 000 Profit before tax 960 000 640 000 Cash Flow from Financing Activities: Dividend Paid $ (240,000) $ 320,000 Income tax payable 128 000 64 000 Tax (256 000) (172 000) Issuance of Long term Loans Profit after tax 468 000 Dividends payable 208 000 160 000 704 000 Net Cash Flow from Financing Activities $ 80,000 Additional information Net Change in Cash 8,000 $ 64,000 $ 72,000 Cash Balance, Beginning Cash Balance, Ending
Chelsea Limited Statement of Cash Flow For the Year Ended December 31, 2021 Cash Flow from Operating Activities: Profit before Interest and Tax $1,024,000 Use the information provided below to prepare the Cash Flow Statement of Chelsea Limited for the year ended 31 December 2021. LIST OF BALANCES FROM THE STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER: Adjustments for non cash Items: INFORMATION 2021 (R) 2020 (R) Depreciation on buildings $ 96,000 $ 160,000 $ 256,000 Depreciation on plant and machinery PEPSICO LIMITED Land and buildings 1 760 000 1504 000 Changes in Working Capital: Plant and machinery 992 000 848 000 $ 16,000 $ (152,000) $ (64,000) $ (200,000 STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER: Decrease in Inventories 24 Increase in Accounts Receivable 2021 (R) 2020 (R) Investments 240 000 Decrease in Accounts Payable Inventories 384 000 400 000 $1,080,000 $ (64,000 $ (192,000 Sales 3312 000 2 800 000 Cash Flow from Operations Less: Interest Paid Accounts receivable Cost of sales (1616 000) (1 560 000) 408 000 256 000 Less: Income Tax Paid Cash and cash equivalents Net Cash Flow from Operating Activities $ 824,000 72 000 64 000 Gross profit 1 696 000 1240 000 Cash Flow from Investing Activities: Purchase of Land and Building Purchase of Plant and Machinery Selling and administrative expenses (672 000) (568 000 Ordinary share capital 1600 000 1600 000 $ (352,000) $ (304,000) $ (240,000) Operating profit 1024 000 672 000 Retained earmings 896 000 480 000 Purchase of Investments Interest expense (64 000) (32 000) Long-term loan 640 000 320 000 Net Cash Flow from Investing Activities $ (896,000 Accounts payable 384 000 448 000 Profit before tax 960 000 640 000 Cash Flow from Financing Activities: Dividend Paid $ (240,000) $ 320,000 Income tax payable 128 000 64 000 Tax (256 000) (172 000) Issuance of Long term Loans Profit after tax 468 000 Dividends payable 208 000 160 000 704 000 Net Cash Flow from Financing Activities $ 80,000 Additional information Net Change in Cash 8,000 $ 64,000 $ 72,000 Cash Balance, Beginning Cash Balance, Ending
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter11: The Statement Of Cash Flows
Section: Chapter Questions
Problem 25CE
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