Waqar is a sole trader. He provides the following financial information in respect of his business. Income statement for the year ended 31 December 2019 Rs 000 Sales 3380 Cost of sales (2000) Expenses (1200) Profit for the year 180 Statements of financial position at: 31 December 2018 31 December 2019 Rs 000 Rs 000 Rs 000 Rs 000 Non-current assets Freehold land 2000 3500 Plant and machinery at cost 900 1020 Less: depreciation (500) (470) Net book value 400 550 2400 4050 Current assets Inventory 310 320 Trade receivables 240 210 Cash and cash equivalents 10 - 560 530 Current liabilities Trade payables 200 160 Bank overdraft - 530 200 690 Non-current liability – loan 500 350 Net assets 2260 3540 Additional information Additional Information: Drawing is $400 During the year Winston purchased new plant at a cost of $200 000. He also sold some plant that had a net book value of $20 000 and had been depreciated by $60 000. This resulted in a loss on disposal of $2000. REQUIRED Prepare a statement of cash flows for the year ended 31 December 2019.
Waqar is a sole trader. He provides the following financial information in respect of his business.
Income statement for the year ended 31 December 2019
Rs 000
Sales
3380
Cost of sales
(2000)
Expenses
(1200)
Profit for the year
180
31 December 2018
31 December 2019
Rs 000
Rs 000
Rs 000
Rs 000
Non-current assets
Freehold land
2000
3500
Plant and machinery at cost
900
1020
Less: depreciation
(500)
(470)
Net book value
400
550
2400
4050
Current assets
Inventory
310
320
Trade receivables
240
210
Cash and cash equivalents
10
-
560
530
Current liabilities
Trade payables
200
160
Bank overdraft
-
530
200
690
Non-current liability – loan
500
350
Net assets
2260
3540
Additional information
Additional Information:
Drawing is $400
During the year Winston purchased new plant at a cost of $200 000. He also sold some plant that had a net book value of $20 000 and had been
REQUIRED
Prepare a statement of cash flows for the year ended 31 December 2019.
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