Question C5 Majan Ltd income statement for the year ended 31st Dec 2020 and the balance sheets as at 31st Dec 2009 and 2019 are as follows: Income statement OMR in million Revenue 312 Cost of sales (177) Gross profit 135 Distribution expenses (36) Administrative expenses (15) 84 Rental income 14 Operating profit 98 Interest payable (13) Profit before taxation 85 Taxation (18) Profit for the year 67 Balance sheet as at 31st Dec 2020 and 2019 2020 2019 OMR in million OMR in million Non – current assets Property, plant and equipment Land and buildings 155 155 Plant and machinery 157 163 312 318 Current assets Inventories 18 21 Trade receivables 73 70 Current liabilities Borrowings (all bank overdrafts) (45) (28) Trade payables (21) (28) taxation (9) (12) Net current assets 16 24 Non –current liabilities Borrowings – loan notes (75) (125) Net assets 253 216 Equity Called –up ordinary share capital 150 100 Share premium account - 20 Revaluation reserve 5 35 Retained earnings 98 61 253 216 Additional information: - A dividend of OMR 30 million was paid. During 2009, the business spent OMR 33 million on additional plant and machinery. You are required to prepare: Required: Prepare cash flow statement as per IAS 7, showing workings for tax, interest, and fixed asset purchase amount for XYZ Ltd for the year 31st Dec 2020.
Question C5
Majan Ltd income statement for the year ended 31st Dec 2020 and the balance sheets as at 31st Dec 2009 and 2019 are as follows:
Income statement
|
|
OMR in million |
|
Revenue |
312 |
|
Cost of sales |
(177) |
|
Gross profit |
135 |
|
Distribution expenses |
(36) |
|
Administrative expenses |
(15) |
|
|
84 |
|
Rental income |
14 |
|
Operating profit |
98 |
|
Interest payable |
(13) |
|
Profit before |
85 |
|
Taxation |
(18) |
|
Profit for the year |
67 |
Balance sheet as at 31st Dec 2020 and 2019
|
|
2020 |
2019 |
|
|
OMR in million |
OMR in million |
|
Non – current assets |
|
|
|
Property, plant and equipment |
|
|
|
Land and buildings |
155 |
155 |
|
Plant and machinery |
157 |
163 |
|
|
312 |
318 |
|
Current assets |
|
|
|
Inventories |
18 |
21 |
|
Trade receivables |
73 |
70 |
|
|
|
|
|
Current liabilities |
|
|
|
Borrowings (all bank overdrafts) |
(45) |
(28) |
|
Trade payables |
(21) |
(28) |
|
taxation |
(9) |
(12) |
|
Net current assets |
16 |
24 |
|
Non –current liabilities |
|
|
|
Borrowings – loan notes |
(75) |
(125) |
|
Net assets |
253 |
216 |
|
Equity |
|
|
|
Called –up ordinary share capital |
150 |
100 |
|
Share premium account |
- |
20 |
|
Revaluation reserve |
5 |
35 |
|
|
98 |
61 |
|
|
253 |
216 |
Additional information: -
- A dividend of OMR 30 million was paid.
- During 2009, the business spent OMR 33 million on additional plant and machinery.
You are required to prepare:
Required:
Prepare cash flow statement as per IAS 7, showing workings for tax, interest, and fixed asset purchase amount for XYZ Ltd for the year 31st Dec 2020.
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