Hi is the implied cash flow changes from payables £-12000? Thanks Harpo Limited has traded for a number of years.financial statement of the company is as follows:Comprehensive Income Statement extract for the yearended 31 December 2017Operating Profit after interestTaxationProfit after interest and TaxationDividendsHarpo Ltd - Statement of Financial Position as at 31 December20172016£'000 £'000 £'000 £'000Non-current assetsLand and BuildingsFixtures and FittingsCurrent AssetsInventoryReceivablesBankTotal AssetsEquityShare CapitalShare Premium AccountProfit and Loss accountNon-Current liabilities8% Loan stockCurrent LiabilitiesBank OverdraftPayablesCorporation TaxCostAt 1.1.2017AdditionsDisposalsAt 31.12.2017DepreciationAt 1.1.2017Charge for the yearDepreciation on disposalNet Book Value 31.12.2017542274165 9812,88101831729509501,90095000950000095018001005262,426100485263045195355 1752,881Harpo Ltd - Non-current assets SchedulLand and Fixtures andBuildings£'000Fittings£'00020507254502,3259506501,6001,400395(420)1,3759507482,34814004331,83310042,3123456789101112131415161718192021222324252627A£'000390(147).243AdjustmentDepreciation(150)93BCash flow from operating activitiesNet incomeStatement of Cash FlowsFor the year ended Dec 31,2017Change in working capitalIncrease in inventoryIncrease in receivableDecrease in payableDecrease in corporate taxDecrease in bank overdraftNet change in working capitalNet cash flow from operating activitiesCash flow from investing activitiesPurchase of fixture and fitingSales of fixture and fitingNet cash flow from investing activitiesCash flow from financing activitiesDividend paidIssue of shareShare premiumNet cash flow from financing activitiesNet cash flow from all the activitiesAdd: Opening cash balanceCash bal. as on 31 Dec 2017બ બ બ બ બ-£-£C44712351145-£ 72530-£ 150£ 400£ 100£4-££444243£395-£ 695128510350165£ 165

The cash flow produced by a company's regular operations is known as operating cash flow. Using the…

Harpo Limited has traded for a number of years. financial statement of the company is as follows: Comprehensive Income Statement extract for the year ended 31 December 2017 Operating Profit after interest Taxation Profit after interest and Taxation Dividends Harpo Ltd - Statement of Financial Position as at 31 December 2017 2016 £'000 £'000 £'000 Non-current assets Land and Buildings Fixtures and Fittings Current Assets Inventory Receivables Bank Total Assets Equity Share Capital Share Premium Account Profit and Loss account Non-Current liabilities 8% Loan stock Current Liabilities Bank Overdraft Payables Corporation Tax 542 274 165 0 183 172 950 950 1,900 981 2,881 1800 100 526 2,426 100 485 263 0 45 195 355 175 2,881 £'000 950 650 1,600 748 2,348 1400 433 1,833 100 1 2 3 4 5 6 7 Harpo Ltd - Non-current assets Schedul 8 4 2,3 A £'000 390 (147) 243 (150) 93 B Statement of Cash Flows For the year ended Dec 31,2017 Cash flow from operating activities Net income с Adjustment Depreciation Change in working capital £ 4 D 243 395

Harpo Limited has traded for a number of years. financial statement of the company is as follows: Comprehensive Income Statement extract for the year ended 31 December 2017 Operating Profit after interest Taxation Profit after interest and Taxation Dividends Harpo Ltd - Statement of Financial Position as at 31 December 2017 2016 £'000 £'000 £'000 Non-current assets Land and Buildings Fixtures and Fittings Current Assets Inventory Receivables Bank Total Assets Equity Share Capital Share Premium Account Profit and Loss account Non-Current liabilities 8% Loan stock Current Liabilities Bank Overdraft Payables Corporation Tax 542 274 165 0 183 172 950 950 1,900 981 2,881 1800 100 526 2,426 100 485 263 0 45 195 355 175 2,881 £'000 950 650 1,600 748 2,348 1400 433 1,833 100 1 2 3 4 5 6 7 Harpo Ltd - Non-current assets Schedul 8 4 2,3 A £'000 390 (147) 243 (150) 93 B Statement of Cash Flows For the year ended Dec 31,2017 Cash flow from operating activities Net income с Adjustment Depreciation Change in working capital £ 4 D 243 395

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter17: Financial Statement Analysis

Section: Chapter Questions

Problem 17E

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