Give an example of a transaction that results in:(a) An increase in one asset and an increase in a liability(b) A decrease in one asset but no chang
Question 1
Give an example of a transaction that results in:(a) An increase in one asset and an increase in a liability(b) A decrease in one asset but no change in the total assets(c) An increase in one asset and an increase in equity(d) A decrease in one asset and a decrease in a liability(e) A decrease in one asset and a decrease in equity(f) One asset increasing, one asset decreasing and one liability increasing (g) A decrease in equity and an increase in a liability.
Question 2
Identifying account categories
The following is a list of ledger account titles extracted from the general ledger of J. Wendall, marketing consultant.
1133552131289
Required
Identify each of the ledger accounts as either an asset, a liability, an income or an expense account. If you think that any of the accounts might fit into more than one of these categories, explain why.
For each of the accounts listed, indicate (1) whether increases are recorded as debits or credits and (2) whether the normal balance is a debit or a credit. (LO2)
Question 3
For each of the following transactions, indicate whether the accounts affected are an asset, a liability, an equity, an income or an expense. Also indicate whether the accounts are being increased or decreased and whether the increase or decrease is a debit or credit. Ignore GST.
Owner gave their personal computer to the business.
Employed a secretary.
Cash payment made for insurance 6 months in advance.
Purchased supplies on credit.
Paid a creditor using an electronic transfer.
Invoiced a customer for services performed.
Paid some cash and took out a loan to purchase office furniture.
Received cash from a customer that owed the business money.
Paid for an advertisement aired on television.
Question 4
Normal balance and classification in financial statements
The accounts below appear in the chart of accounts of Brightspark Electrical Services. Show whether the normal balance is a debit or a credit. Indicate whether the account would appear in the balance sheet or in the income statement, and under what classification, e.g. liability, asset, equity, income or expense.
Service Vehicles
Repairs Expense
Prepaid Insurance
Accounts Payable
Unearned Service Fees
Telephone Expense
Accounts Receivable
Electrical Supplies
B.A. Brightspark, Drawings
GST Payable
GST Receivable
Mortgage Payable
Interest Revenue
B. A. Brightspark, Capital
Electrical Services Revenue (LO2)
Question 5
Recording transactions in general journal and analysis
The chart of accounts of Pellham Poster Printers contained the following accounts: Cash at Bank; Accounts Receivable; Equipment; Accounts Payable; K. Pellham, Drawings; Printing Fees; Salaries Expense and Advertising Expense. Ignore GST.
The following transactions occurred during the month of June:
998697210876
Required
Prepare the general journal entries to record the transactions (ignore GST).
For each transaction above, prepare an analysis similar to those shown in illustrative examples in this chapter of the text.
Question 6
Chart of accounts, posting to T accounts, and trial balance
The general journal of Lenore Grunweld, Property Adviser, contained the entries below for the month of July 2019. GST is ignored.
998915241714
Required
Post the transactions to T accounts. The chart of accounts for the business included the following accounts:
2147073118330
Prepare a trial balance of the general ledger of Lenore Grunweld, Property Adviser as at 31 July 2019.
(LO2, LO4 and LO5)
Question 7
Worksheet and closing entries
The adjusted trial balance columns in the worksheet of Elliot Painting Services are as follows.
1261017223067
Required
Complete the worksheet.
Question 8
Closing entries for a company
Paradise Gardens Hire Ltds income statement is presented below. During the year,
directors declared and paid a dividend of $16 000.
1302462123722
Required
(a) Prepare the necessary general journal entries to close the accounts of the company.
Question 9
The following transactions were undertaken by Massenburg Personnel Services during the month of February 2019. Ignore GST.
1. Invoiced a client for providing advice on current employment legislation, $2400.
2. Paid salaries to staff, $3600.
3. Paid an annual subscription for access to an online data base of employment legislation until the end of January 2020.
4. Received $6000 from a client for employing staff for them in January.
5. M. Massenburg invested a further $20 000 additional capital into the business to ensure it has sufficient cash to continue operations.
6. Purchased new office furniture and equipment on credit for $12 500.
7. Invoiced a client for $7000 for providing advice regarding an industrial dispute they had with their employees.
8. Paid $720 electricity account the day the account was received.
9. Paid the firms lawyers for an account received from them in December for receiving legal advice, $7100.
10. Paid for the equipment purchased in (6).
11. M. Massenburg withdrew $1200 from the business bank account for personal use.
Required:
Indicate with the appropriate letter whether each of the transactions resulted in:
(a) an increase in assets and a decrease in assets
(b) an increase in assets and an increase in liabilities
(c) an increase in assets and an increase in equity
(d) a decrease in assets and a decrease in liabilities
(e) a decrease in assets and a decrease in equity
(f) an increase in liabilities and a decrease in equity
(g) an increase in equity and a decrease in liabilities.
Question 1
Martin and Gary share profits in equal proportion. On 1 July 2018, the equity accounts stood as follows.
Martin, capital $96,000
Martin, retained earnings 37,000
Gary, capital 85,000
Gary, retained earnings 25,000
Martin and Gary were entitled to 10% interest on capital, and Gary as a manager, was entitled to a salary of $45,000 p.a. During the year, Gary withdrew $16,000 in cash and Martin withdrew $25,000. The profits for the year ended 30 June 2019 were $55,000 before providing for interest on capital balances and for Garys salary.
Required
a) Prepare the Profit Distribution accounts for the year ended 30 June 2019.
b) Prepare Martin Retained Earnings account for the year ended 30 June 2019.
c) Prepare Gary Retained Earnings account for the year ended 30 June 2019.
Question 2
Reconciling a control account and a subsidiary ledger
Assume that Xinshans China sold merchandise to three customers during June on credit, as shown in the following Accounts Receivable Control account.
998435110732
1004797177430
Required
Explain why the control account and related subsidiary ledger are not in balance. All postings to the subsidiary ledger were correct. Prepare the corrected control account.
Question 3
Reconciling a control account and a subsidiary ledger
Cosimos Cookware bought merchandise from three suppliers during September on credit, as shown in the Accounts Payable Control account on the next page.
998435241408
Required
Determine the missing amount (?) in the control account and insert the correct posting reference in the Post Ref. Column.
Determine the ending balance in the account of O. Oldfield.
Question 4
Reconciling a control account and a subsidiary ledger
Overtons Outdoor Centre is owned and run by Kym Overton, using the periodic inventory system and balancing her books at month-end. At 30 April 2019, the balances of the Accounts Receivable Control and Accounts Payable Control accounts were $59 560 and $34 570 respectively. Ignore GST.
A summary of her dealings with customers and suppliers for May 2019 follows.
998760218503
982717146926
The following additional information is available.
At Rainsford Ltds request, on 31 May, Kym Overton offset the amount owed by Rainsford Ltd against the amount owing to it.
Overtons Outdoor Centre paid Rainsford Ltd on 6 May, sold goods to Rainsford Ltd on 10 May, and purchased goods from Rainsford Ltd on 19 May.
Required
Prepare the Accounts Receivable Control and Accounts Payable Control ledger accounts for the month of May 2019.
Prepare Rainsford Ltd.s accounts payable subsidiary ledger account for the month of May 2019 in the accounting records of Overtons Outdoor Centre.
Prepare schedules of accounts receivable and accounts payable as at 31 May 2019.
Question 5
Matching transaction types with journals
Fiona Spottiswoode uses a purchases journal, a cash payments journal, a sales journal, a cash receipts journal and a general journal. Indicate in which journals the following transactions are most likely to be recorded.
Issue of shares for cash.
Purchased inventories on credit.
Cash purchase of inventories (Cheque no. 32162).
Sale of marketable securities (shares) for cash.
Sales of inventory on credit.
Received payment of a customers account.
Received adjustment note for defective goods, which were purchased on credit and returned to the supplier.
Owner withdrew inventory for personal use.
Owner withdrew cash.
Payment of monthly rent by cheque.
Cash refund to a customer who returned inventory.
Question 6
Recording transactions in purchases and sales journals
Non-GST version
Casey Ltds accounting system uses special journals and subsidiary ledgers. The following transactions occurred during October 2019 (GST is ignored). All sales are n/30.
1043720109874
Required
(a) Ignoring GST, enter the appropriate transactions into the purchases and sales journals for October, and explain how each would be posted to accounts in the ledgers.
Question 7
Recording transactions in purchases and sales journals
GST version
Casey Ltds accounting system uses special journals and subsidiary ledgers. The following transactions occurred during October 2019 (GST is ignored). All sales are n/30.
1043720109874
Required
(a) Assuming that the company is registered for the GST, enter the appropriate transactions into suitably ruled purchases and sales journals, and explain how each would be posted to accounts in the ledgers.
TACC601 Principles of Accounting
Week 2: Income Statement and Balance Sheet
Seminar Guide
Seminar Activity 2.1: Transactions and Financial Statements
Jock ODonoghue has recently started Jocks Tool Supplies, a retailer of tools and other supplies to the heavy haulage and earth moving industry. The following transactions have occurred in the first month of the business operations:
Jan4Jock commenced business by contributing cash of $4 000, inventory of $15 000, furniture of $1 500, a building $68 000 and a mortgage on the building of $40 000.
4Purchased a computer on credit for $3 000.
6Sold inventories for cash of $2 200. The cost price of the inventory was $1 075.
8Purchased inventory on credit for $8 000.
9Paid cash of $400 for the telephone calls for the month.
13Jock took $150 cash and $50 of inventory for his own personal use.
17Sold tools on credit to a local logging contractor for $5 600. These tools originally cost $540.
18Paid $2 000 to creditors towards the amount owing.
22Paid light and power of $250 by cash.
25The business repaid $1 000 of the mortgage.
27Paid interest on the mortgage of $100.
28Another business is renting a small part of the building as office space. The paid $500 for Januarys rent.
28Purchased some tools for resale from a local manufacturer. They cost $700 and the manufacturer was paid in cash.
Required
Complete a worksheet for the month of January using the above data and prepare an income statement and balance sheet at 31st January 2018.
Worksheet of Jock's Tool Supplies Cash at Inventory Accounts Office Office Building Accounts Mortgage Capital Profit &
bank Receivable Furniture Equip. = Payable Loan loss
4
4
6
8
9
13
17
18
22
25
27
28
28
TOTALS
Jock's Tool Supplies Income Statement For the month ended 31st January 2018 $
Sales
Less Cost of goods sold
Gross Profit
Add Other Revenue
Rent revenue
Less Other Expenses
Interest expense
Light and power expense
Telephone expense
Net Profit
Jock's Tool Supplies
Balance Sheet as at 31st January 2018 $
Current assets
Cash at bank
Inventory
Accounts receivable
Total Current Assets
Non current assets
Office furniture
Office equipment
Building
Total Non Current Assets
Total Assets
Current liabilities
Accounts payable
Total Current Liabilities
Non-current liabilities
Mortgage Loan
Total Non Current Liabilities
Total Liabilities
Net Assets
Equity
Capital
Add Net Profit
Total Equity
Seminar Activity 2.2: Transactions and Financial Statements
Joe Henry started a new business on 1 January 2017 under the name of Henrys Hardware. The following transactions took place during the first month of the businesses life.
Henry deposited $30 000 of his own savings into a bank account in the name of his new business.
Henry purchased a building costing $60 000 from which to run his business. This was financed by a mortgage loan of the same amount arranged with the businesses bank.
Henry purchased furniture and fittings for the business, drawing a cheque for $10 000 from the businesses bank account.
Henry purchased inventory for resale on credit for $20 000.
Henry needed $500 urgently for personal reasons and withdrew $500 from the businesses bank account.
Sold goods for $3 000 cash which was deposited in the bank account. These goods had cost the business $2 200.
Paid $250 by cheque for a series of newspaper advertisements to appear in January.
Sold goods for $5 000 on credit. These goods had cost the business $3 200.
Paid $4 000 by cheque being part of the amount owing to creditors.
Henry took some goods home for his personal use which had cost the business $400.
Paid $180 by cheque for telephone use in January.
Paid $600 wages by cheque to the person Henry had employed earlier in the month.
Received $3 500 from debtors which was deposited in the bank account.
Required
Prepare worksheet entries for these transactions. Balance the columns and prepare an income statement and a balance sheet at the end of the month.
Worksheet of Henry's Hardware Assets = Liabilities + Equity
Cash at Debtors Inventory Building Furniture & Creditors Mortgage Capital Profit
bank fittings Loan and loss
1-Jan
2
2
3
4
5
6
7
8
9
10
11
12
13
TOTALS
Henry's Hardware Income Statement For the month ended 31 January 2017 $
Income
Sales
Less cost of goods sold
Gross Profit
Less Other Expenses
Advertising
Telephone
Wages
Net Profit
Henry's Hardware
Balance Sheet as at 31 January 2017 $
Current assets
Cash at bank
Debtors
Inventory
Total Current Assets
Non current assets
Building
Furniture and fittings
Total Non Current Assets
Total Assets
Current liabilities
Creditors
Total Current Liabilities
Non-current liabilities
Mortgage Loan
Total Non Current Liabilities
Total Liabilities
Net Assets
Owners equity
Capital
Add Net Profit
Total Owners' Equity
TACC601 Principles of Accounting
Week 6: Company Accounting
Seminar Guide
Seminar Activity 6.1: Company Accounting
Anthony Ltd imports designer spectacle frames and sells them to optometrists. The assets, liabilities and shareholders equity balances of the business at 30 June 2016 are shown on the attached worksheet.
The following information about Anthony Ltd is available:
The business has an accounting period of one year. It determines profit or loss for each year following proper accrual principles.
The opening balance in the prepayments column relates to 6 months insurance for the period July 2016 to December 2016.
The balance in the accrual column relates to electricity owing for June 2016.
On 1 January 2016 Anthony Ltd borrowed $25 000 from Robin Banks and agreed to pay 12% interest per annum in arrears for 3 years. It is an interest only loan where the principal will be repaid in full at the end of the 3 years. The interest is paid on 30 June each year.
The motor vehicle owned by the business on 30 June 2016 has an expected life of 4 years, and an expected residual value at the end of that time of $2 000.
The company has 40 000 shares issued when the business began for $1 per share.
Here is a summary of the transactions that took place during the year ended 30 June 2017:
In July 2016 the company delivered a special order to a customer. The special order had previously been paid for in May 2016 see the opening balance in the unearned revenue column. These special frames had cost Anthony Ltd $1 000.Received 80% of the amounts owing from debtors.
Purchased frames on credit for $ 35 000.
Paid tax owing from the previous year and also paid dividends to shareholders that had been declared at the end of the previous year.
Paid accrued expenses from previous year.
On 1 January 2017 paid a reduced annual insurance premium $5 400
Credit sales of frames totalled $64 000, while cash sales totalled $5 000. (The frames sold during the year had cost the business $32 000).
A second delivery vehicle was bought on 1 July 2016 for $ 15 000 cash. It is expected to have a useful life of four years and a residual value of $3 000.
Received $60 000 from debtors and paid creditors $40 000.
During the year paid $8 200 cash for vehicle running expenses.
Declared a dividend of 12.5 cents per share.
Electricity bills for the first three quarters of the year were paid totalling $1 820. The manager has estimated that the bill for the last quarter will be $690, but as yet is has not been received.
The company expects to have to pay $7 000 tax on the profits for the year.
A transfer of $5 000 to a general reserve is made and 20 000 bonus shares valued at $1 each are issued to shareholders based on the amount in retained profits.
Interest on the loan is paid on 30 June 2017.
Required
a.Record entries on the attached worksheet for the events that occurred during the year and also record all the accrual accounting adjustments that are necessary to determine profit for the year.
b.Prepare an income statement, cash flow statement and balance sheet at 30 June 2017.
Worksheet of Anthony Ltd Cash at Debtors Inventory Prepayments Motor (Acc dep - Creditors Accruals Unearned Prov for Prov for Loan Paid up General Retained
bank Vehicles equipment = revenue div pay tax pay Capital reserve profits
Bal 26,750 29,980 65,000 3,500 12,000 (2,500) 22,000 530 1,900 8,500 8,000 25,000 40,000 28,800
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
a
b
c
Bal Anthony Ltd Income Statement For the year ended 30 June 2017
$
Sales
Less cost of goods sold
Gross Profit
Less Other Expenses
Depreciation of motor vehicles
Vehicle expenses
Electricity
Insurance
Interest
Net Profit before income tax
Income tax expense
Net Profit after income tax
Retained profits - 1 July 2016
Add net profit after tax
Profits available for appropriation
Less dividends declared
Less transfer to general reserve
Less bonus issue
Retained profits - 30 June 2017
Anthony Ltd
Balance Sheet as at 30 June 2017
$
Current assets
Cash at bank
Debtors
Inventory
Prepayments
Total Current Assets
Non current assets
Motor vehicles
Less Accumulated depreciation
Total Non Current Assets
Total Assets
Current liabilities
Creditors
Accruals
Provision for dividend payable
Provision for tax payable
Total Current Liabilities
Non-current liabilities
Loan
Total Non Current Liabilities
Total Liabilities
Net Assets
Shareholders' equity
Paid up capital
General reserve
Retained profits
Total Shareholders' Equity
Anthony Ltd
Cashflow Statement for the year ended 30 June 2017
$
Cash flows from operating activities
Cash receipts from customers
Cash paid to suppliers and employees
Interest paid
Taxation paid
Net cash from operating activities
Cash flows from investing activities
Purchase of vehicle
Net cash from investing activities
Cash flows from financing activities
Dividends paid
Net cash from financing activities
Net decrease in cash held
Cash at the beginning of the year
Cash at the end of the year
TACC401 Principles of Accounting
Week 4: Accrual Accounting
Seminar Guide
Seminar Activity 4.1: Accrual Accounting
Andrew Darby manages and owns all the shares in a small proprietary company called Darbys Derbys Pty Ltd which buys and sells hats. The assets, liabilities and owners equity of the business at 1 January 2018 are shown on the accompanying worksheet.
The following information about Darbys Derbys Ltd is available:
The business has an accounting period of one month. It determines profit or loss for each month on its worksheet following proper accrual principles.
The opening balance in the prepayments column relates to rent for the months of January, February and March 2018 which was paid in December 2017.
The accrual on 1 January relates to an amount owing for advertisements that appeared in the local newspaper in December 2017.
The shop fittings owned by the business have an expected life of 8 years, and an expected residual value of $1 000 at the end of that time.
The following transactions took place during January 2018:
The business borrowed $4 800 from Darbys sister. The loan is to be repaid in three years time but interest at 5% per annum has to be paid (in arrears) each six months, starting on 1 July 2018.
Paid an insurance premium of $1 200 that will cover the business until 30 June 2018.
3Received payment for accounts receivable $6 000.
6Purchased hats on credit $12 000.
8Credit sales of hats $14 000 (these hats had cost $9 000).
12Paid wages of $1 400.
15Cash sales of hats $5 000 (these hats had cost $3 000).
16Paid the local newspaper for the advertisements that appeared in December 2017 and for some others which appeared in January 2018, total payment being $1 200.
20Paid accounts payable $7 800.
25Wrote off an account receivable to the value of $500 because it was accepted that the amount was never going to be paid.
26Purchased shop supplies on credit $200 and paid wages of $1 400.
27Received $600 from a customer for hats that are not going to be supplied until March.
31Wages for work done in January but not yet paid amounted to $300. Shop supplies on hand at the end of January amounted to $100.
Required
Record entries on the attached worksheet for the events that occurred in January and also record all the accrual accounting adjustments that are necessary to determine profit for the month. (Hint you will need six adjustments including the two mentioned on 31 January.)
Prepare an income statement, cash flow statement and balance sheet at 31 January 2018.
Darby's Derbys Ltd Cash at Accounts Inventory Shop Prepayments Shop fittings (Acc dep - Accounts Accruals Unearned Loan Share Retained
bank receivable Supplies shop fitt.) = payable Revenue Capital Profits
Bal 6,000 10,000 12,000 500 1,500 25,000 (15,000) 7,500 800 30,000 1,700
Jan-01
2
3
6
8
12
15
16
20
25
26
27
a
b
c
d
e
f
Bal
Darby's Derbys Ltd Income Statement For the month ended 31 January 2018
$
Sales
Less cost of goods sold
Gross Profit
Less Other Expenses
Depreciation of shop fittings
Interest
Wages
Rent
Insurance
Bad debts
Advertising
Supplies
Net Profit
Add retained profits at beginning
Less dividends
Retained Profits at end
Darby's Derbys Ltd
Cashflow Statement for the month ended 31 January 2018
$
Cash flows from operating activities
Cash receipts from customers
Cash paid to suppliers and employees
Net cash from operating activities
Cash flows from investing activities
Net cash from investing activities
Cash flows from financing activities
Borrowings
Net cash from financing activities
Net change in cash
Cash at the beginning of the month
Cash at the end of the month
Darby's Derbys Ltd
Balance Sheet as at 31 January 2018
$
Current assets
Cash at bank
Accounts receivable
Inventory
Shop supplies
Prepayments
Total Current Assets
Non current assets
Shop fittings
Less Accumulated depreciation
Total Non Current Assets
Total Assets
Current liabilities
Accounts payable
Accruals
Unearned revenue
Total Current Liabilities
Non-current liabilities
Loan
Total Non Current Liabilities
Total Liabilities
Net Assets
Shareholders' equity
Share capital
Retained profits
Total Shareholders' Equity
TACC401 Principles of Accounting
Week 3: Cash flow Statement
Seminar Guide
Seminar Activity 3.1: Transactions and Financial Statements
I. Cover decided to open Recover Upholstery Repairs on 1 January 2018. She contributed office equipment valued at $10 000 and a commercial van valued at $12 000, and deposited $5 000 cash in a business bank account. Transactions during January were:
Jan4Took a three-year lease on a shop and paid the first month's rent $350.
4Purchased office supplies for $260, and issued a cheque for $100 in part payment for these supplies.
6Cash received for minor repairs, $120.
6Revenue earned for repair work for Shipshape Ltd on credit, $350.
7Purchased an upholstery sewing machine for $1 840, paying $400 cash with the balance to be paid at a later date.
8Cash revenue earned $230.
11Engaged an upholsterer at an agreed wage of $350 per week.
12Paid petrol $20, postage $10, and electricity bill $30.
13Cash of $200 received for over-the-counter repairs
13Revenue of $450 earned from sales to a customer on credit.
14Paid the balance owing for office supplies purchased on 4th Jan 2018.
15The owner withdrew $100 for her own use.
16Office supplies purchased for $250 on credit.
17Cash revenue received $365.
18Paid weekly wages to the upholsterer.
21Revenue earned for repairs: cash $80, on credit $170.
23Shipshape Ltd paid the bill for services rendered on 6th Jan 2018.
24Petrol expenses paid $20.
25Paid weekly wages to the upholsterer.
28Revenue earned for repair work $390, receiving $100 in cash and the remainder to be paid at a later date.
Office supplies used $200.
Required
Complete a worksheet for the month of January using the above data and prepare an income statement, cash flow statement and balance sheet at 31st January.
(Adapted from a problem in Bazely, M., P. Hancock, A. Berry and R. Jarvis, 1998, Contemporary Accounting - a conceptual approach, (3rd edition), Nelson, Melbourne.)
Worksheet of Recover Upholstery Repairs Assets = Liabilities + Equity
Cash at Office Accounts Office Vehicle Sewing Accounts Capital Profit &
bank Supplies Receivable Equipment Machine Payable Loss
1
4
6
7
8
12
13
14
15
16
17
18
21
23
24
25
28
31
TOTALS
Recover Upholstery Repairs Income Statement For the month ended 31st January 2018 $
Fee revenue
Less Other Expenses
Petrol
Office supplies
Electricity
Rent
Postage
Wages
Net Profit
Recover Upholstery Repairs
Balance Sheet as at 31st January 2018 $
Current assets
Cash at bank
Office supplies
Accounts receivable
Total Current Assets
Non current assets
Office equipment
Vehicle
Sewing machine
Total Non Current Assets
Total Assets
Current liabilities
Accounts payable
Total Current Liabilities
Non-current liabilities
Total Non Current Liabilities
Total Liabilities
Net Assets
Owner's equity
Capital
Add Net Profit
Total Owner's Equity
Recover Upholstery Repairs
Cashflow Statement for the month ended 31st January 2018 $
Cash flows from operating activities
Cash receipts from customers
Cash paid to suppliers and employees
Net cash from operating activities
Cash flows from investing activities
Part payment for sewing machine
Net cash from investing activities
Cash flows from financing activities
Capital contributed by owner
Drawings by owner
Net cash from financing activities
Net change in cash
Cash at the beginning of the month
Cash at the end of the month
Seminar Activity 3.2: Group Discussion
For each of the 16 events described in the following table, select one of the following four letters to indicate whether they would be:
Frecorded in a cash flow statement as financing activity
Orecorded in a cash flow statement as operating activity
Irecorded in a cash flow statement as investing activity
Nnot recorded in a cash flow statement at all
1. Received money from debtors
2. Paid an insurance premium
3. Paid a dividend that had been declared in the previous year
4. Purchased inventory for cash
5. Sold furniture and equipment for cash
6. Paid wages for the current year
7. Paid wages related to the previous year
8. Sold shares in the company for cash to raise capital
9. Repaid part of a loan
10. Paid interest on a loan
11. Paid for shares in another company (to be held for more than 1 year)
12. Paid tax on the previous years profits
13. Wrote off bad debts
14. Purchased land and buildings for cash
15. Received payment from customers for goods to be provided next year
16. Recorded depreciation on non-current assets
