The statements of financial position of Ampersand plc as at 31 May 2012 and 31 May
2013 are as follows:
| £000 | 2013 £000 |
£000 | £000 | 2012 £000 |
£000 | |
| Non- current assets (depreciated value) |
54,000 | 47,000 | ||||
| Current assets: | ||||||
| Inventory | 14,000 | 11,000 | ||||
| Trade receivables | 19,100 | 17,400 | ||||
| 33,100 | 28,400 | |||||
| Less | ||||||
| Current liabilities | ||||||
| Trade payables | 14,200 | 15,500 | ||||
| Taxation | 14,000 | 13,000 | ||||
| Bank overdraft | 19,600 | 10,900 | ||||
| (47,800) | (39,400) | |||||
| Net current liabilities | (14,700) | (11,000) | ||||
| Total net assets | 39,300 | 36,000 | ||||
| Equity | ||||||
| Share capital | 21,000 | 10,000 | ||||
| Share premium | 7,500 | 17,500 | ||||
| account | ||||||
| Retained earnings | 10,800 | 8,500 | ||||
| Total equity | 39,300 | 36,000 |
The summarised income statements for the two years ended 31 May 2013 are as
follows:
| 2013 £000 |
2012 £000 |
|
| Gross profit | 153,340 | 132,200 |
| Less Expenses (including depreciation £3.2m) | (105,640) | (94,900) |
| 47,700 | 37,300 | |
| Profit/(Loss) on sale of non-current assets | (1,400) | 2,800 |
| Operating profit | 46,300 | 40,100 |
| Less Interest paid | (10,000) | (10,000) |
| Profit for the year | 36,300 | 30,100 |
| Less Taxation | (14,000) | (13,000) |
| Profit after tax | 22,300 | 17,100 |
| Less Dividends paid | (20,000) | 11,500 |
| Retained earnings for the year | 2,300 | 5,600 |
| Retained earnings brought forward | 8,500 | 2,900 |
| Retained earnings carried forward | 10,800 | 8,500 |
Notes:
1 A bonus issue was made during the year to 31 May 2013 by transferring £10m from
the share premium account.
2 A summary of the company’s non-current assets (at cost price) for the year ended
31 May 2013 is shown below (£000s):
| £ | |
| 1 June 2012 Opening balance | 87,000 |
| 31 May 2013 Additions | 14,000 |
| 101,000 | |
| 31 May 2013 Sales* | (12,000) |
| 31 May 2013 Closing balance | 89,000 |
* The assets which were sold realised £2.4m, which represented a loss on disposal of £1.4m when compared
with their depreciated value at the date of sale.
Produce a cash flow statement for the year ended 31 May 2013.
