XYZ Co. Ltd’s Comparative Balance Sheet for 2002 and the company’s income statement for the year are as follows:
Income statement for the year that ended on 31 December 2002
|
(Rs. in Crores) |
||
|
Sales |
1,000 |
|
|
Less: |
Cost of Goods Sold |
530 |
|
Gross margin |
470 |
|
|
Less: |
Operating Expenses |
352 |
|
Net operating income |
118 |
|
|
Less: |
Non-operating items: |
|
|
Loss on Sale of Equipment |
4 |
|
|
Income before taxes |
114 |
|
|
Less: |
Income tax |
48 |
|
Net income |
66 |
Comparative Balance Sheet for the years that ended on 31 December 2002 and 31 December 2001 (Rs. in crores)
Additional Information:
- Dividends of Rs. 48 crores were paid in 2002.
- The loss on sale of Rs. 4 crores reflects a transaction in which the equipment, with original cost of Rs. 12 crores and accumulated depreciation of Rs. 5 crores, was sold for Rs. 3 crores in cash.
Required: Using the indirect method, determine the net cash provided by operating activities for 2002 and construct a statement of Cash Flows.