The financial reports of Al Wefaq Trading Company at the end of the year 2022 showed the following data: Income statement for the year ending on 12/31/2022 Net sales 75600 Cost of goods sold -42400 Gross profit 33200 Administrative and operational expenses -12800 Income from operating activities 20400 gains from the sale of land 6000 Subtracts interest expense -1200 net income before tax 25200 subtracts income tax -7440 Net income after tax 17760 financial position at the end of the year 2021 and 2022 2021 2022 Statement Assets 9,400 16,500 cash 14,400 21,600 Receivables 26,700 22,100 Inventory 450 880 Interest paid in advance 50,950 61,080 Total current assets 21,600 13,600 Affiliate investment 68,000 74,000 lands 22,600 31,400 Machines (6,400) (7,900) Consumption Complex 16,200 23,500 The net book value of the machines 156,750 172,180 Total assets liabilities and equity current liabilities 30,600 33,050 Account payables 7,550 8,730 Income tax payable 38,150 41,780 total current liabilities non-current liabilities 17,600 21,400 Bank loan equity 75,000 82,000 common stock capital 26,000 27,000 Retained earnings 101,000 109,000 Total equity 156,750 172,180 total liabilities and equity It also showed the following information: Lands with a historical cost of 12,000 were sold for cash at 18,000 dinars Among the fixed assets are new machines that were purchased during the year 2022, with a value of 10,750 dinars. An amount of 2,750 was paid in cash, and the rest was paid through the company’s assignment of part of its investments in the allied company. The depreciation expense for the current year amounted to 1500 - The value of cash dividends distributed to shareholders is 6,500 Required: Preparing the cash flow statement by the indirect method
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The financial reports of Al Wefaq Trading Company at the end of the year 2022 showed the following data:
Income statement for the year ending on 12/31/2022
Net sales | 75600 |
Cost of goods sold | -42400 |
Gross profit | 33200 |
Administrative and operational expenses | -12800 |
Income from operating activities | 20400 |
gains from the sale of land | 6000 |
Subtracts interest expense | -1200 |
net income before tax | 25200 |
subtracts income tax | -7440 |
Net income after tax | 17760 |
financial position at the end of the year 2021 and 2022
2021 | 2022 | Statement |
Assets | ||
9,400 | 16,500 | cash |
14,400 | 21,600 | Receivables |
26,700 | 22,100 | Inventory |
450 | 880 | Interest paid in advance |
50,950 | 61,080 | Total current assets |
21,600 | 13,600 | Affiliate investment |
68,000 | 74,000 | lands |
22,600 | 31,400 | Machines |
(6,400) | (7,900) | Consumption Complex |
16,200 | 23,500 | The net book value of the machines |
156,750 | 172,180 | Total assets |
liabilities and equity | ||
current liabilities | ||
30,600 | 33,050 | Account payables |
7,550 | 8,730 | Income tax payable |
38,150 | 41,780 | total current liabilities |
non-current liabilities | ||
17,600 | 21,400 | Bank loan |
equity | ||
75,000 | 82,000 | common stock capital |
26,000 | 27,000 | |
101,000 | 109,000 | Total equity |
156,750 | 172,180 | total liabilities and equity |
It also showed the following information:
Lands with a historical cost of 12,000 were sold for cash at 18,000 dinars
Among the fixed assets are new machines that were purchased during the year 2022, with a value of 10,750 dinars.
An amount of 2,750 was paid in cash, and the rest was paid through the company’s assignment of part of its investments in the allied company.
The
- The value of cash dividends distributed to shareholders is 6,500
Required:
Preparing the cash flow statement by the indirect method
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