Statement of profit or loss for the year ended 31 December 2014 is shown below.
| $ | |
| Revenue | 984,000 |
| Cost of Sales | (787,200 ) |
| Gross Profit | 196,800 |
| Distribution cost | (12,075) |
| Administrative expenses | (1,543) |
| Investment income | 4,746 |
| Finance cost | ( 8,800) |
| Profit before tax | 179,128 |
| Tax | (7,050) |
| Profit for the year | 172,078 |
Note: Depreciation of $22,800 has been charged.
Other extract from the financial position
| $ | $ | |
| 2014 | 2013 | |
| Inventory | 14,553 | 13,230 |
| Trade receivables | 96,840 | 80,700 |
| Trade payables | 107,163 | 119,070 |
| Taxation payables | 60,804 | 67,560 |
What is the figures in the statement of cash flow in respect of net cash flow from operating activities?
Suggested solutions:
| $ | |
| Net profit before taxation | 179,128 |
| Adjustment for depreciation | 22,800 |
| Investment Income | (4,746) |
| Finance cost | 8,800 |
| Operating profit before working capital changes | 205,982 |
| Increase in inventory | (1,323) |
| Increase in receivables | (16,140) |
| Decease in payables | (11,907 ) |
| Cash generated from operations | 176,612 |
| Investment Income | 4,746 |
| Finance cost | (8,800) |
| Tax paid | (13,806) |
| Net Cash flows from operating activities | 158,752 |