The following information relates to Hunter a small private company. It consists of an opening statement of financial position as at 1 April 20X3 and a listing of the company's ledger accounts at 31 March 20X4 after the draft operating profit before interest and tax (of $17,900) had been calculated.HUNTER STATEMENT OF FINANCIAL POSITION AS AT 1 APRIL 20X3 Non-current assets $ Land & Buildings (at valuation of $49,200 less accumulated depreciation of $5,000) 44,200 Plant (at cost of $70,000 less accumulated depreciation of $22,500) 47,500 Investment at cost 16,900 108,600Current Assets Inventory 57,400 Trade Receivables 28,600 Bank 1,200 Total Assets 195,800 Equity & Liabilities Equity Ordinary shares of $1 each 25,000 Share Premium 5,000 Revaluation Reserve 12,000Retained Earnings 70,300 112,300Non-current Liabilities 8% loan notes 43,200 Current Liabilities Trade payables 31,400Taxation 8,900 Total equity and liabilities 195,800 Ledger accounts Ordinary shares of $1 each 50,000 CR Share premium 8,000 CR Retained earnings - 1 April 20x3 70,300 CR Profit before interest and tax-year to 31 March 20x4 17,900 CR Revaluation reserve 18,000 CR 8% loan notes 39,800 CR Trade payables 26,700 CR Accrued loan interest 300 CRTaxation 1,100 DR Land & Buildings at valuation 62,300 DR Plant at Cost 84,600 DR Buildings-accumulated depreciation 31 March 20x4 $6,800 CR Plant accumulated depreciation 31 March 20x4 $37,600 CR Investment at cost 8,200 DR Trade receivables 50,400 DR Inventory - 31 March 20x4 43,300 DR Bank 1,900 CR Investment Income 400 CR Loan Interest 1,700 DR Ordinary Dividend 26,100 DRNotes:a. There were no disposals of land and buildings during the year. The increase in revaluation reserve was entirely due to the revaluation of the company's land.b. Plant with a net book value of $12,000 (cost $23,500) was sold during the year for $7,800. The loss on sale has been included in the profit before interest and tax.c. Investments with a cost of $8,700 were sold during the year for $11,000. The profit has been included in the profit before interest and tax. There were no further purchase of investments.d. On 10 October 20X3 a bonus issue of 1 for 10 ordinary shares was made utilizing the share premium account. The remainder of the increase in ordinary shares was due to an issue for cash on 30 October 20X3.e. The balance of the taxation account is after the settlement of the provision made for the year to 31 March 20X3. A provision for the current year has not been made.Required:From the above information, prepare a statement of cash flows for Hunter using the indirect method in accordance with IAS7 Statement of Cash Flows for the year ended 31 March 20X4. The following information relates to Hunter a small private company. It consists of anopening statement of financial position as at 1 April 20X3 and a listing of the company'sledger accounts at 31 March 20X4 after the draft operating profit before interest and tax (of$17,900) had been calculated.HUNTERSTATEMENT OF FINANCIAL POSITION AS AT 1 APRIL 20X3Non-current assetsLand & Buildings (at valuation of $49,200 less accumulated depreciation of 44,200$5,000)Plant (at cost of $70,000 less accumulated depreciation of $22,500)Investments at costCurrent AssetsInventoryTrade ReceivablesBankTotal assetsEquity & LiabilitiesEquityOrdinary shares of $1 eachShare PremiumRevaluation ReserveRetained EarningsNon-current liabilities8% loan notesCurrent liabilitiesTrade payablesTaxationTotal equity and liabilities$47,50016,900108,60057,40028,600R1,200195,80025,0005,00012,00070,300112,30043,20031,4008,900195,800 Ledger accountsOrdinary shares of $1 eachShare PremiumRetained earnings-1 April 20x3Profit before interest and tax-year to 31 March 20X4Revaulation reserve8% loan notesTrade payablesAccrued loan interestTaxationLand & Buildings at valuationPlant at costBuildings-accumulated depreciation 31 March 20X4Plant-accumulated depreciation 31 March 20X4Investments at costTrade receivablesInventory-31 March 20X4BankInvestment incomeLoan InterestOrdinary dividendNotes:C.DR $Required:1,10062,30084,6008,20050,40043,3001,70026,100277,700CR $50,0008,00070,30017,90018,00039,80026,7003006,80037,6001,900400a. There were no disposals of land and buildings during the year. The increase inrevaluation reserve was entirely due to the revaluation of the company's land.b. Plant with a net book value of $12,000 (cost $23,500) was sold during the year for$7,800. The loss on sale has been included in the profit before interest and tax.Investments with a cost of $8,700 were sold during the year for $11,000. The profithas been included in the profit before interest and tax. There were no furtherpurchase of investments.d.On 10 October 20X3 a bonus issue of 1 for 10 ordinary shares was made utilizing theshare premium account. The remainder of the increase in ordinary shares was dueto an issue for cash on 30 October 20X3.e. The balance of the taxation account is after the settlement of the provision made forthe year to 31 March 20X3. A provision for the current year has not been made.277,700From the above information, prepare a statement of cash flows for Hunter using the indirectmethod in accordance with IAS7 Statement of Cash Flows for the year ended 31 March20x4.

To prepare a statement of cash flows using the indirect method, we need to analyze changes in the…

The following information relates to Hunter a small private company. It consists of an opening statement of financial position as at 1 April 20X3 and a listing of the company's ledger accounts at 31 March 20X4 after the draft operating profit before interest and tax (of $17,900) had been calculated. HUNTER STATEMENT OF FINANCIAL POSITION AS AT 1 APRIL 20X3 Non-current assets $ Land & Buildings (at valuation of $49,200 less accumulated depreciation of $5,000) 44,200 Plant (at cost of $70,000 less accumulated depreciation of $22,500) 47,500 Investment at cost 16,900 108,600 Current Assets Inventory 57,400 Trade Receivables 28,600 Bank 1,200 Total Assets 195,800 Equity & Liabilities Equity Ordinary shares of $1 each 25,000 Share Premium 5,000 Revaluation Reserve 12,000 Retained Earnings 70,300 112,300 Non-current Liabilities 8% loan notes 43,200 Current Liabilities Trade payables 31,400 Taxation 8,900 Total equity and liabilities 195,800 Ledger accounts Ordinary shares of $1 each 50,000 CR Share premium 8,000 CR Retained earnings - 1 April 20x3 70,300 CR Profit before interest and tax-year to 31 March 20x4 17,900 CR Revaluation reserve 18,000 CR 8% loan notes 39,800 CR Trade payables 26,700 CR Accrued loan interest 300 CR Taxation 1,100 DR Land & Buildings at valuation 62,300 DR Plant at Cost 84,600 DR Buildings-accumulated depreciation 31 March 20x4 $6,800 CR Plant accumulated depreciation 31 March 20x4 $37,600 CR Investment at cost 8,200 DR Trade receivables 50,400 DR Inventory - 31 March 20x4 43,300 DR Bank 1,900 CR Investment Income 400 CR Loan Interest 1,700 DR Ordinary Dividend 26,100 DR Notes: a. There were no disposals of land and buildings during the year. The increase in revaluation reserve was entirely due to the revaluation of the company's land. b. Plant with a net book value of $12,000 (cost $23,500) was sold during the year for $7,800. The loss on sale has been included in the profit before interest and tax. c. Investments with a cost of $8,700 were sold during the year for $11,000. The profit has been included in the profit before interest and tax. There were no further purchase of investments. d. On 10 October 20X3 a bonus issue of 1 for 10 ordinary shares was made utilizing the share premium account. The remainder of the increase in ordinary shares was due to an issue for cash on 30 October 20X3. e. The balance of the taxation account is after the settlement of the provision made for the year to 31 March 20X3. A provision for the current year has not been made. Required: From the above information, prepare a statement of cash flows for Hunter using the indirect method in