问答题
The following financial statements relate to Blue Ting for the year ended 31 December 2001
{{U}}Balance Sheet ended at 31 December{{/U}}
2000 2001
＄'000 ＄'000
Plant and machinery 1,296 1,788
Less: Depreciation (174) (287)
Stock 184 296
Trade debtors 382 490
Bank and cash 10 (301)
Trade creditors (142) (166)
Accrued expenses (45) -
Taxation (80) (100)
Dividends {{U}}(45){{/U}} {{U}}(60){{/U}}
1,386 1,660
Less: 6% Loan notes2009 {{U}}(350){{/U}} {{U}}(350){{/U}}
Paid-up share capital 875 975
Share premium - 50
Revenue reserves 35 70
Profit and loss 126 215
{{U}}Trading and Profit and Loss Account{{/U}}
2000 2001
＄'000 ＄'000
Turnover 2,725 3,204
Less: Cost of sales {{U}}(1,766){{/U}} {{U}}(2,195){{/U}}
Gross profit 959 1,009
Less: Operating expenses (713) (715)
Profit before taxation 246 294
Less: taxation {{U}}(80){{/U}} {{U}}(90){{/U}}
Profit after taxation 166 204
Less: transfer to reserves (20) (35)
proposed dividends {{U}}(45){{/U}} {{U}}(80){{/U}}
Retained earnings for the year 
Paid-up share capital 875 975
Share premium - 50
Revenue reserves 35 70
Profit and loss 126 215
{{U}}Trading and Profit and Loss Account{{/U}}
2000 2001
＄'000 ＄'000
Turnover 2,725 3,204
Less: Cost of sales {{U}}(1,766){{/U}} {{U}}(2,195){{/U}}
Gross profit 959 1,009
Less: Operating expenses (713) (715)
Profit before taxation 246 294
Less: taxation {{U}}(80){{/U}} {{U}}(90){{/U}}
Profit after taxation 166 204
Less: transfer to reserves (20) (35)
proposed dividends {{U}}(45){{/U}} {{U}}(80){{/U}}
Retained earnings for the year
【正确答案】
【答案解析】(a)—Managers can control cash balances and make plans in using cash flow analysis.
—The forecast cash flow analysis enables managers to plan the company's borrowing and investment activities ao as to avoid cash shortages or excessively high cash balances.
—Banks can evaluate company liquid situation by cash flow analysis.
(b) Blue Ting
Cash Flow Statement for the year ended 31 December 2001
＄
Net cash flow from operating activities: 208,000
Returns on Investment and Servicing of Finance-Dividend paid (65,000)
(80,000 + 45,000 - 60,000)
Tax paid (80,000 + 90,000 - 100,000) (70,000)
Investing activities
Payment to acquire fixed assets (1,788,000 - 1,296,000 +
52,000) (544,000)
Receipts from sales of fixed assets 10,000
Net cash flow before financing (461,000)
Financing:
Issue of shares (975,000-875,000+50,000) 150,000
Decrease in cash and cash equivalents (311,000)
Cash and cash equivalents 1 January 2001 10,000
Cash and cash equivalents 31 December 2001 (301,000)
Reconciliation of Operating Profit to
Net Cash Inflow from Operating Activities
＄
Operating profit before taxation 294,000
Depreciation[287,000 - 174,000 + (52,000 - 22,800)] 142,200
Loss on disposal of fixed assets (22,800 - 10,000) 12,800
Increase in stock (296,000 - 184,000) (112,000)
Increase in debtors (490,000 - 382,000) (108,000)
Increase in creditors (166,000 - 142,000) 24,000
Decrease in accrued expenses (45,000)
208,000