Repeat Exercise 13.3, but this time work on the assumption that fixed assets that had originally…
Repeat Exercise 13.3, but this time work on the assumption that fixed assets that had originally cost 30,000, with accumulated depreciation of 12,000, had been sold during the year ended 31 December 20X4 for 11,000.
The balance sheet of Dot Co. for the year ended 31 December 20X4, together with comparative figures for the previous year, is shown in Figure 13.7 (all figures 000). You are informed that there were no sales of fixed assets during 20X4, and that new shares and debentures issued in 20X4 were issued on 1 January.
Calculate operating profit and net cash flow from operations, and prepare a cash flow statement for the year 20X4, consistent with IAS 1, as far as the available information permits. Comment on the implications of the statement.