deegan5e sm ch20

8/20/2019 Deegan5e Sm Ch20

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PART 5: ACCOUNTING FOR THE DISCLOSURE OF CASH FLOWS

Chapter 20

Cash-flow statements

20.1 Pursuant to AAS 10!" t#$ t#r$$ t%&$s o' a(t)*)t)$s r$&ort$+ on t#$ stat$,$nt o' (as# '-osar$ +$s(r)/$+ as 'o--os:

Financing activities ar$ a(t)*)t)$s t#at r$su-t )n (#an$s )n t#$ s)$ an+ (o,&os)t)on o't#$ (ontr)/ut$+ (a&)ta- an+ /orro)ns o' t#$ $nt)t%.

Investing activities ar$ t#$ a(u)s)t)on an+ +)s&osa- o' -on3t$r, ass$ts an+ ot#$r)n*$st,$nts not )n(-u+$+ )n (as# $u)*a-$nts.

Operating activities ar$ t#$ &r)n()&a- r$*$nu$3&ro+u()n a(t)*)t)$s o' t#$ $nt)t% an+ot#$r a(t)*)t)$s t#at ar$ not )n*$st)n or ')nan()n a(t)*)t)$s.

Ea(# t%&$ o' (as# '-o &ro*)+$s ),&ortant )n'or,at)on. For $4a,&-$" )t ou-+ /$ #o&$+ t#at)n t#$ -on$r t$r," t#$ ,aor)t% o' t#$ ')r,6s (as# '-os ou-+ /$ $n$rat$+ /% )ts o&$rat)na(t)*)t)$s. 7no-$+$ a/out t#$ )n*$st)n a(t)*)t)$s o' t#$ ')r, &ro*)+$s )n'or,at)on a/out t#$rot# or (ontra(t)on )n t#$ ass$t /as$ o' t#$ (o,&an% an+ t#)s ,a% /$ &art)(u-ar-% ),&ortant#$n (ons)+$r)n 'utur$ (as# '-os an+ &ros&$(ts. Cas# '-os r$-at)n to ')nan()n a(t)*)t)$s)-- s#o #o t#$ ')nan()a- stru(tur$ #as (#an$+ an+ t#)s ,a% /$ &art)(u-ar-% ),&ortant )n(ons)+$r)n &ot$nt)a- (#an$s )n t#$ r)s8 o' t#$ $nt)t%" an+ t#$ asso()at$+ (#an$s )n $4&$(t$+r$turns.

20.2 Operating Investing Financing9a D)*)+$n+s r$($)*$+; 9+ A(u)s)t)on o' &-ant 9/ D)*)+$n+s &a)+9( Int$r$st &a)+; an+ $u)&,$nt 9$ R$&a%,$nt o' /orro)ns9' orro)n (osts; 9) R$($)&ts 'ro, s#ar$ )ssu$9 Pa%,$nts to su&&-)$rs 9 Pa%,$nts to un+$rr)t$rs9# Pa%,$nts to $,&-o%$$s

; T#$s$ $4&$ns$s ,)#t a-so /$ tr$at$+ as ')nan()n (osts. T#at )s" AAS 10! a&&$ars to &ro*)+$ so,$+)s(r$t)on as to #o so,$ a,ounts ,)#t /$ +)s(-os$+.

20.< T#$ =O/$(t)*$6 o' AAS 10! )s )+$nt)')$+ )n t#$ a((ount)n stan+ar+ as:

T#$ o/$(t)*$ o' t#)s Stan+ar+ )s to r$u)r$ t#$ &ro*)s)on o' )n'or,at)on a/out t#$#)stor)(a- (#an$s )n (as# an+ (as# $u)*a-$nts o' an $nt)t% /% ,$ans o' a (as# '-ostat$,$nt #)(# (-ass)')$s (as# '-os +ur)n t#$ &$r)o+ 'ro, o&$rat)n" )n*$st)nan+ ')nan()n a(t)*)t)$s.

Cas# an+ (as# $u)*a-$nts ar$ +$')n$+ )n AAS 10! as 'o--os:

Cash (o,&r)s$s (as# on #an+ an+ +$,an+ +$&os)ts.

Cash equivalents ar$ s#ort3t$r," #)#-% -)u)+ )n*$st,$nts t#at ar$ r$a+)-%(on*$rt)/-$ to 8non a,ounts o' (as# an+ #)(# ar$ su/$(t to an )ns)n)')(ant r)s8

o' (#an$s )n *a-u$.

Pararas ! an+ > o' AAS 10! &ro*)+$ 'urt#$r r$-$*ant +)s(uss)on:

So-ut)ons ?anua- t@a Australian Financial Accounting 5@$ /% Cra) D$$an 201


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!. Cas# $u)*a-$nts ar$ #$-+ 'or t#$ &ur&os$ o' ,$$t)n s#ort3t$r, (as# (o,,)t,$ntsrat#$r t#an 'or )n*$st,$nt or ot#$r &ur&os$s. For an )n*$st,$nt to ua-)'% as a (as#$u)*a-$nt )t ,ust /$ r$a+)-% (on*$rt)/-$ to a 8non a,ount o' (as# an+ /$ su/$(tto an )ns)n)')(ant r)s8 o' (#an$s )n *a-u$. T#$r$'or$" an )n*$st,$nt nor,a--%ua-)')$s as a (as# $u)*a-$nt on-% #$n )t #as a s#ort ,atur)t% o'" sa%" t#r$$ ,ont#sor -$ss 'ro, t#$ +at$ o' a(u)s)t)on. Eu)t% )n*$st,$nts ar$ $4(-u+$+ 'ro, (as#

$u)*a-$nts un-$ss t#$% ar$" )n su/stan($" (as# $u)*a-$nts" 'or $4a,&-$ )n t#$ (as$ o' &r$'$rr$+ s#ar$s a(u)r$+ )t#)n a s#ort &$r)o+ o' t#$)r ,atur)t% an+ )t# a s&$()')$+r$+$,&t)on +at$.

>. an8 /orro)ns ar$ $n$ra--% (ons)+$r$+ to /$ financing activities. Ho$*$r" )nso,$ (ountr)$s" /an8 o*$r+ra'ts #)(# ar$ r$&a%a/-$ on +$,an+ 'or, an )nt$ra-

&art o' an $nt)t%6s (as# ,ana$,$nt. In t#$s$ ()r(u,stan($s" /an8 o*$r+ra'ts ar$)n(-u+$+ as a (o,&on$nt o' (as# an+ (as# $u)*a-$nts. A (#ara(t$r)st)( o' su(#

/an8)n arran$,$nts )s t#at t#$ /an8 /a-an($ o't$n '-u(tuat$s 'ro, /$)n &os)t)*$ too*$r+ran.

20.B T#$ 'o--o)n ar$ (as# $u)*a-$nts: +$&os)ts t#at ar$ a*a)-a/-$ at (a-- 9+ +$&os)ts on t#$,on$% ,ar8$t t#at ar$ a*a)-a/-$ at to ,ont#s6 not)($ 9$ an+ a /an8 o*$r+ra't 9'.

20.5 T#$ aru,$nt t#at (as#3'-o +ata ,)#t /$ ,or$ r$-)a/-$ t#an &ro')t3r$-at$+ +ata )s /as$+ ont#$ *)$ t#at t#$ +$t$r,)nat)on o' &ro')ts r$-)$s u&on ,an% &ro'$ss)ona- u+$,$nts" su(#t#at +)''$r$nt t$a,s o' a((ountants ou-+ rar$-% (a-(u-at$ t#$ sa,$ &ro')t or -oss ')ur$ 'or t#$ sa,$ $nt)t%. Pro')t (an a-so /$ ,an)&u-at$+. % (ontrast" (as# an+ (as# $u)*a-$nts ar$,or$ o/$(t)*$-% +$t$r,)n$+ an+ -$ss sus($&t)/-$ to ,an)&u-at)on. Ho$*$r" )t )s +$/ata/-$#$t#$r (as#3'-o +ata )s ,or$ relevant t#an &ro')t3/as$+ +ata. T#)s )s a oo+ o&&ortun)t% to(ons)+$r t#$ )ssu$ o' r$-$*an($ *$rsus r$-)a/)-)t%.

20. T#)s u$st)on )-- /$ us$'u- 'or st),u-at)n +$/at$ a,on stu+$nts. Cas#3'-o +ata an+a((ount)n3&ro')t +ata s$r*$ +)''$r$nt &ur&os$s. Arua/-%" )n ass$ss)n ')nan()a- &$r'or,an($"a((ount)n &ro')ts &ro*)+$ a su&$r)or ,$asur$. Pro')t ta8$s )nto a((ount t#$ )n'-os an+out'-os o' $(ono,)( /$n$')ts. Cas# '-os on-% (ons)+$r )n'-os an+ out'-os o' (as# an+(as# $u)*a-$nts. T#$ '-o o' (as# +o$s not n$($ssar)-% $uat$ to )n'-o o' n$t ass$ts to an$nt)t%. For $4a,&-$" $ ,a% s$-- -an+ 'or (as# at a &r)($ $ua- to )ts /oo8 *a-u$. A-t#ou#t#$r$ )s an )n'-o o' (as#" t#$ n$t ass$ts o' t#$ $nt)t% ou-+ r$,a)n un(#an$+. N$*$rt#$-$ss"'or +$t$r,)n)n t#$ so-*$n(% an+ (as# ,ana$,$nt o' a r$&ort)n $nt)t%" a stat$,$nt o' (as#'-os" an+ )ts su&&ort)n not$s" )s a us$'u- (o,&-$,$nt to t#$ )n(o,$ stat$,$nt an+ /a-an($s#$$t.

20.! Pra(t)(a- +)'')(u-t)$s )n(-u+$:

9) O/ta)n)n t#$ )n'or,at)on

It ,a% /$ +)'')(u-t to $4tra(t non3(as# '-os@non3o&$rat)n '-os 'ro, t#$ ,o*$,$nts)n t#$ a((ount /a-an($s. For $4a,&-$" a &a%,$nt r$($)*$+ 'ro, a +$/tor ,a% r$-at$ tot#$ &ro($$+s 'ro, t#$ sa-$ o' a non3(urr$nt ass$t #)(# +o$s not r$-at$ to o&$rat)na(t)*)t)$s.

9)) Wor8)n out #$t#$r transa(t)ons r$-at$ to o&$rat)n" )n*$st)n or ')nan()n a(t)*)t)$s

AAS 10! r$u)r$s t#at (as# '-os /$ a&&ro&r)at$-% (-ass)')$+. It )-- not a-a%s /$(-$ar #)(# (at$or% a (as# '-o /$-ons )n.

9))) D$')n)t)on o' (as# $u)*a-$nts



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Cas# $u)*a-$nts ar$ +$s(r)/$+ as s#ort3t$r," #)#-% -)u)+ )n*$st,$nts t#at ar$r$a+)-% (on*$rt)/-$ to 8non a,ounts o' (as# an+ #)(# ar$ su/$(t to an)ns)n)')(ant r)s8 o' (#an$s )n *a-u$. It (an so,$t),$s /$ +)'')(u-t to +$t$r,)n$ #atconstitutes a =(as# $u)*a-$nt6 o' a (o,&an%. Cons)+$r t#$ aru,$nt &r$s$nt$+ )n t#$n$s&a&$r art)(-$ on &a$ !01 o' t#$ t$4t/oo8.

9)* R$(on()-)n t#$ (as# '-os 'ro, o&$rat)ons )t# t#$ n$t &ro')t

Un-$ss a s%st$,at)( a&&roa(# su(# as a s&r$a+s#$$t )s us$+" )t )s $as% to o,)t r$-$*ant)t$,s 'ro, t#$ r$(on()-)at)on.

In t$r,s o' )ts *a-u$ to t#$ statutor% a((ounts

• T#$ (as# '-o stat$,$nt &ro*)+$s )n'or,at)on not a*a)-a/-$ )n ot#$r s$(t)ons o' t#$

')nan()a- r$&ort 9+)r$(t-% or )n+)r$(t-%. An $4a,&-$ )s &a%,$nts to su&&-)$rs an+$,&-o%$$s. T#$s$ +)s(-osur$s ,a% /$ us$'u- to ')nan()a- stat$,$nt us$rs.

• T#$ stat$,$nt o' (as# '-os s#os t#$ +)''$r$n($ /$t$$n (as# '-os an+ &ro')ts 'or t#$

$nt)t% an+ t#)s )n'or,at)on (an /$ us$'u- )n $*a-uat)n t#$ so-*$n(% o' t#$ /us)n$ss.

• In'or,at)on a/out &ast (as# '-os ,a% /$ us$'u- )n 'or,)n &r$+)(t)ons a/out 'utur$ (as#

'-os. T#)s ou-+ /$ o' *a-u$ #$n +$t$r,)n)n t#$ *a-u$ o' t#$ $nt)t% as a o)n (on($rn.

• Cas# '-o )n'or,at)on ,a% s$r*$ to su,,ar)s$ ,ana$,$nt6s )n*$st,$nt an+ ')nan()n

&o-)()$s ,or$ (-$ar-% t#an /a-an($ s#$$t )n'or,at)on.

• A &ro/-$, t#at ,a% ar)s$ )s t#at t#$ (as# '-o stat$,$nt )s )n(ons)st$nt )t# t#$ a((rua-

/as)s o' a((ount)n us$+ )n t#$ )n(o,$ stat$,$nt an+ /a-an($ s#$$t. T#)s ,a% -$a+ to(on'us)on 'or &$o&-$ )t#out a((ount)n /a(8roun+s. T#$r$ )s" #o$*$r" a not$ #)(#r$(on()-$s n$t &ro')t )t# (as# '-os 'ro, o&$rat)ons.

• F)na--%" )t )s +$/ata/-$ #$t#$r (as# '-os 'ro, o&$rat)ons" #)(# )s o't$n us$+ as a

,$asur$ o' ,ana$r)a- &$r'or,an($" &ro*)+$s a /$tt$r /$n(#,ar8 t#an &ro')t" or sa%='un+s6 'ro, o&$rat)ons. So,$ aru$ t#at t#$ a&&-)(at)on o' t#$ a((rua- (on($&t" an+(ons)+$rat)on o' r$*$nu$s =$arn$+6 an+ $4&$ns$s =)n(urr$+6" )s r$u)r$+ 'or t#)s &ur&os$.Ho ,an% ,ana$,$nt &$r'or,an($ ,$asur$s r$-% on (as# '-os rat#$r t#an=(on*$nt)ona-6 a((ount)n ,$asur$s

T#us" #)-st (as# '-o stat$,$nts ar$ us$'u- 'or r$*)$)n t#$ (as# &os)t)on o' (o,&an)$s"t#$% ,ust /$ r$*)$$+ (ar$'u--% an+ )n (onun(t)on )t# ot#$r ')nan()a- )n'or,at)on.

20.> 9a T#$ sa-$ o' a non3(urr$nt ass$t

T#$ &ro($$+s 'ro, t#$ sa-$ o' a non3(urr$nt ass$t ou-+ /$ +)s(-os$+ as &art o' t#$(as# '-os asso()at$+ )t# )n*$st)n a(t)*)t)$s. It )s t#$ (as# '-o #)(# )s r$-$*ant tot#$ stat$,$nt o' (as# '-os" not t#$ a)n or -oss on sa-$ as ou-+ /$ )n(-u+$+ )n t#$)n(o,$ stat$,$nt. In t#$ r$(on()-)at)on o' &ro')t a't$r ta4 )t# n$t (as# &ro*)+$+ 'ro,o&$rat)ons" an% a)n on sa-$ ou-+ n$$+ to /$ +$+u(t$+ 'ro, n$t &ro')ts 9an+ an% -osson sa-$ a++$+.

9/ An )n(r$as$ )n a &ro*)s)on 'or -on3s$r*)($ -$a*$

It )s t#$ a(tua- &a%,$nts r$-at$+ to t#$ -on3s$r*)($ -$a*$ $nt)t-$,$nts #)(# )s)n(-u+$+ )n t#$ stat$,$nt o' (as# '-os. T#$ $4&$ns$" to t#$ $4t$nt )t )s a((ru$+"ou-+ not /$ t#$ sa,$ as t#$ (as# '-o. To +$t$r,)n$ t#$ (as# '-o $ ou-+ a++ t#$

-on3s$r*)($ -$a*$ $4&$ns$ to t#$ o&$n)n &ro*)s)on" 'ro, #)(# $ ou-+ t#$n+$+u(t t#$ (-os)n &ro*)s)on. In &ro*)+)n t#$ r$(on()-)at)on o' n$t &ro')t )t# n$t



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An $nt)t% s#a-- +)s(-os$" to$t#$r )t# a (o,,$ntar% /% ,ana$,$nt" t#$a,ount o' s)n)')(ant (as# an+ (as# $u)*a-$nt /a-an($s #$-+ /% t#$ $nt)t%t#at ar$ not a*a)-a/-$ 'or us$ /% t#$ rou&.

9*) A r$(on()-)at)on o' (as# '-os ar)s)n 'ro, o&$rat)n a(t)*)t)$s to &ro')t or -oss s#a-- /$

+)s(-os$+ )n t#$ ')nan()a- r$&ort.

20.10 9a T#$ ,a)n (r)t)()s, )s t#at t#$ +$')n)t)on o' =(as# an+ (as# $u)*a-$nts6 )s too narroan+ s#ou-+ )n(-u+$ /u--)on #o-+)ns.

9/ an+ 9(Cas# an+ (as# $u)*a-$nts ar$ +$')n$+ )n AAS 10! as 'o--os:

Cash (o,&r)s$s (as# on #an+ an+ +$,an+ +$&os)ts.

Cash equivalents ar$ s#ort3t$r," #)#-% -)u)+ )n*$st,$nts t#at ar$ r$a+)-%(on*$rt)/-$ to 8non a,ounts o' (as# an+ #)(# ar$ su/$(t to an )ns)n)')(antr)s8 o' (#an$s )n *a-u$.

To t#$ $4t$nt t#at o-+ /u--)on )s r$a+)-% (on*$rt)/-$ to (as#" t#$n t#$ (r)t)()s, ,a% /$*a-)+. Ho$*$r" )t )s not (-$ar 'ro, a r$a+)n o' AAS 10! t#at o-+ /u--)on ou-++$')n)t$-% #a*$ to /$ $4(-u+$+ 'ro, =(as# $u)*a-$nts6. T#$ $nt)t%" #o$*$r" ou-+n$$+ to /$ a/-$ to +$,onstrat$ t#at o-+ /u--)on )s #)#-% -)u)+" an+ )s us$+ )n t#$$nt)t%6s (as# ,ana$,$nt 'un(t)on on a +a%3to3+a% /as)s.

20.11 T#)s u$st)on (an /$ ans$r$+ /% us)n $)t#$r t#$ t3a((ount a&&roa(# or t#$ $uat)onsa&&roa(#.

T#$ 'o--o)n t3a((ounts ar$ )n 000

Sa-$s A((ounts r$($)*a/-$ Pro*)s)on 'or +ou/t'u- +$/ts

A@(R$(. B00

O&. /a-. 0

A@(r$(. O&. /a-.

Sa-$s B00 Pro*. ++ C-os.

/a-. >D+$4&$ns$ 5

D)s(ounts 10 1B 1B

CASH 0

B0 B0

A-t$rnat)*$-%" $ (an +$t$r,)n$ t#$ (as# '-os 'ro, +$/tors us)n an $uat)on" as s#on /$-o.

Cas# r$($)&ts 'ro, (usto,$rs B00 000 9Sa-$s 0 000 9/$)nn)n r$($)*a/-$s >0 000 9$n+)n r$($)*a/-$s 000 9trans'$r 'ro, &ro*)s)on 'or +ou/t'u- +$/ts #)(#$ua-s o&$n)n /a-an($ o' t#$ &ro*)s)on &-us t#$ +ou/t'u- +$/ts $4&$ns$ -$ss t#$ (-os)n

/a-an($ o' t#$ &ro*)s)on 10 000 9+)s(ounts t#at ,a% #a*$ /$$n )*$n 'or $ar-% &a%,$nt


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20.1B 9) R$($)&ts 'ro, (usto,$rs

W$ n$$+ to r$(onstru(t t#$ &ro*)s)on 'or +ou/t'u- +$/ts an+ a((ounts r$($)*a/-$.

T#$ (u,u-at)*$ $ntr% to r$(or+ sa-$s ou-+ /$:

Dr A((ounts r$($)*a/-$ 250 000

Cr Sa-$s 250 000

T#$ $ntr% to r$(or+ t#$ +ou/t'u- +$/ts $4&$ns$ ou-+ /$:

Dr Dou/t'u- +$/ts $4&$ns$ 25 000Cr Pro*)s)on 'or +ou/t'u- +$/ts 25 000

As t#$ (-os)n /a-an($ o' +ou/t'u- +$/ts +$(r$as$+ /% 5000"


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Cas# '-os 'ro, )n*$st,$nt a(t)*)t)$s

P-ant an+ $u)&,$nt

T#$ ourna- $ntr)$s 'or t#$ +)s&osa- o' t#$ &-ant an+ $u)&,$nt (an /$ su,,ar)s$+ as:

Dr A((u,. +$&r$()at)onM&-ant an+ $u)&. 20 000Cr P-ant an+ $u)&. 20 000

As P-ant )n(r$as$+ /% 10 000"


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XYZ Limited

Statement of Cash Flowsfor the ear ended !0 "#ne 20$0

000

Cash flows from operating activities

R$($)&ts 'ro, (usto,$rs 200Pa%,$nts to su&&-)$rs o' oo+s an+ s$r*)($s" )n(-us)*$ o' -a/our 91Int$r$st &a)+ 920

N$t (as# &ro*)+$+ 'ro, o&$rat)n a(t)*)t)$s 91 1B

Cash flows from investing activitiesPa%,$nt 'or &ro&$rt%" &-ant an+ $u)&,$nt 92 9


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20.15S Limited

Statement of Cash Flowsfor the Year *nded !0 "#ne 20$0

000 000

Cash flows from operating activities

R$($)&ts 'ro, (usto,$rs 1 0>Pa%,$nts to su&&-)$rs o' oo+s an+ s$r*)($s" )n(-us)*$ o' -a/our 91 2

N$t (as# &ro*)+$+ 'ro, o&$rat)n a(t)*)t)$s 91


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or.ings'

In t#)s u$st)on so,$ $4&$ns$s ar$ transa(t$+ 'or on a (as# /as)s 9$-$(tr)()t%" rat$s" an+)nt$r$st. For t#os$ a((ounts #)(# )n*o-*$ a((rua-s" )t )s n$($ssar% to (a-(u-at$ t#$ (as# '-o"

/% ta8)n )nto a((ount t#$ o&$n)n an+ (-os)n a((rua- as $-- as t#$ $4&$ns$ )n t#$ )n(o,$stat$,$nt. T#)s )s +on$ /$-o.

Cas# '-os 'ro, o&$rat)n a(t)*)t)$s

9) R$($)&ts 'ro, (usto,$rs

D$/t r)t$3o''

T#$ $ntr% to r$(or+ t#$ +ou/t'u- +$/ts $4&$ns$ ou-+ /$:

Dr Dou/t'u- +$/ts $4&$ns$ 000Cr Pro*)s)on 'or +ou/t'u- +$/ts 000

As t#$ (-os)n /a-an($ o' +ou/t'u- +$/ts #as on-% )n(r$as$+ /% 2B 000" !2 000 ,ust

#a*$ /$$n r)tt$n3o'' aa)nst +$/tors:

Pro*)s)on 'or +ou/t'u- +$/ts

O&$n)n /a-an($ at 1@!@200 !2 000Pro*)+$+ )n t#$ %$ar 000Wr)tt$n o'' aa)nst +$/tors 9!2 000C-os)n /a-an($ at 000Wr)t$3o'' aa)nst +$/tors 9a/o*$ 9!2 000

Sa-$s 2 12B 000CASH r$($)*$+ 91 0> 000C-os)n /a-an($ at


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In*$ntor% a((ount

O&$n)n /a-an($ at 1@!@200 21 000Cost o' sa-$s 95! 000Pur(#as$s 00 000C-os)n /a-an($ at 000 9#)(# )s notta4 +$+u(t)/-$ )n 2010 or an% ot#$r %$arM)t )s a &$r,an$nt +)''$r$n($. In+$t$r,)n)n ta4a/-$ )n(o,$ $ a-so #a*$ to a++ /a(8 t#$ +ou/t'u- +$/ts $4&$ns$ an+t#$n su/tra(t t#$ a(tua- +ou/t'u- +$/ts r)t$3o'' aa)nst +$/tors 9'or ta4 &ur&os$son-% t#$ r)t$3o'' aa)nst +$/tors )s +$+u(t)/-$ an+ not t#$ a(tua- +ou/t'u- +$/t

$4&$ns$. H$n($ $ ar$ a++)n /a(8 000 an+ su/tra(t)n !2 000 9t#at )s" a++)n /a(8 a n$t a,ount o' 2B 000 #)(# )s t#$ )n(r$as$ )n t#$ &ro*)s)on. Ta4a/-$ )n(o,$t#$r$'or$ )s:

A((ount)n &ro')t /$'or$ ta4 B!2 000u)-+)n +$&r$()at)on 9a &$r,an$nt +)''$r$n($ B> 000In(r$as$ )n &ro*)s)on 'or +ou/t'u- +$/ts 9a t$,&orar% +)''$r$n($ 2B 000Ta4a/-$ )n(o,$ 5BB 000

T#$r$ )s a t$,&orar% +)''$r$n($ (aus$+ +u$ to t#$ &ro*)s)on 'or +ou/t'u- +$/ts an+

t#)s t$,&orar% +)''$r$n($ (r$at$s a +$'$rr$+ ta4 ass$t. Us)n a ta4 rat$ o' B0" t#$a((ount)n $ntr)$s to a((ount 'or ta4 &ursuant to AAS 112 9s$$ C#a&t$r 1! an+ tot#$ n$ar$st 000 ar$:



13/23

Dr In(o,$ ta4 $4&$ns$ 9B0 o' 5BB 000 21> 000Cr In(o,$ ta4 &a%a/-$ 21> 000

Dr D$'$rr$+ ta4 ass$t 9B0 o' 2B 000 10 000Cr In(o,$ ta4 $4&$ns$ 10 000

In(o,$ ta4 &a%a/-$

O&$n)n /a-an($ at 1@!@200 1>2 000C#ar$ 'or t#$ %$ar 9s$$ a/o*$ 21> 000CASH &a)+ 91>2 000C-os)n /a-an($ 21> 000

9* Tota- (as# '-os 'ro, o&$rat)ons

R$($)&ts 'ro, (usto,$rs 99) a/o*$ 1 0> 000Pa%,$nts to su&&-)$rs o' )n*$ntor% 99)) a/o*$ 2B 000

Pa%,$nts 'or a((ru$+ $4&$ns$s 99))) a/o*$ B2 000Rat$s an+ $-$(tr)()t% 0 000Tota- &a%,$nts to su&&-)$rs 91 2 000Tota-


14/23

A((u,u-at$+ +$&r$()at)on

O&$n)n /a-an($ at 1@!@200 000C#ar$ )n t#$ %$ar 1> 000D)s&osa- 91> 000C-os)n /a-an($ at > 000D)s&osa-s )n t#$ %$ar 92B0 000C-os)n /a-an($ at 000

9))) Tota- (as# '-os 'ro, )n*$st)n

Pa%,$nt 'or &ro&$rt%" &-ant an+ $u)&,$nt 99)) a/o*$ 92>> 000

Pro($$+s 'ro, sa-$ o' &-ant 99)) a/o*$ !2 000Tota- 921 000

Cas# '-os 'ro, ')nan()n

A r$(on()-)at)on o' ,o*$,$nts )n s#ar$ (a&)ta- ou-+ s#o t#at t#$r$ #a*$ /$$n no )ssu$s 'or (as#.

T#$ on-% (as# '-o 'ro, ')nan()n r$-at$s to 2B 000 'ro, -on3t$r, -oans.

Tota- (as# '-o

O&$n)n (as# /a-an($ at 1@!@200 B22 000Cas# 'ro, o&$rat)ons


15/23

Pro($$+s 'ro, sa-$ o' &ro&$rt%" &-ant an+ $u)&,$nt 20Pa%,$nts 'or non3tra+)n )n*$st,$nts 9B

N$t (as# '-os 'ro, )n*$st)n a(t)*)t)$s 9B1>

Cash flows from financing activities

R$&a%,$nt o' /orro)ns 9


16/23

As t#$ (-os)n /a-an($ o' +ou/t'u- +$/ts )n(r$as$+ /% 2< 000 9a/o*$" an+ t#$r$ as a (-os)n /a-an($ o' 1

/a-an($ as 1 5!5 000" t#$n 1


17/23

Pro*)s)on 'or $,&-o%$$ $nt)t-$,$nts

CASH 1 B1! O&. /a-. 20>C-os. /a-. 205 Sa-ar)$s 1 Dr CASH 20Cr P-ant an+ $u)&,$nt >

T#$r$ as a-so a r$*a-uat)on o' &-ant an+ $u)&,$nt. T#$ $nt)r$s to r$(or+ t#$ r$*a-uat)onou-+ /$:

Dr A((u,u-at$+ +$&r$()at)onM&-ant an+ $u)&,$nt 500Cr P-ant an+ $u)&,$nt 500Dr P-ant an+ $u)&,$nt >00

Cr Ass$t r$*a-uat)on r$s$r*$ >00

So-ut)ons ?anua- t@a Australian Financial Accounting 5@$ /% Cra) D$$an 201!


18/23


19/23

20.1! Cas# '-os 'ro, o&$rat)n a(t)*)t)$s

1. Cas# r$($)&ts 'ro, (usto,$rs

A((ounts r$($)*a/-$

O&$n)n /a-an($ 0 CASH >0

Sa-$s 0 Pro*)s)on 'or +ou/t'u- +$/tsC-os)n /a-an($ B C-os)n /a-an($ 12 E4&$ns$ >

1 1

2. Cas# &a%,$nts 'or )n*$ntor%

In*$ntor%

O&$n)n /a-an($ 52 Cost o' oo+s so-+ B0A((ounts &a%a/-$ >0 C-os)n /a-an($ 2

10

1B0 1B0


20/23

A((u,u-at$+ +$&r$()at)on

D)s&osa- B O&$n)n /a-an($ 20C-os)n /a-an($ 000" )t ,ust #a*$ r$($)*$+ 2> 000 'ro, t#$

+)s&osa-. T#$r$'or$" tota- (as# '-os 'ro, )n*$st)n a(t)*)t)$s:

Fro, sa-$ o' &-ant 2>A(u)s)t)on o' &-ant 9B0

912

Cas# '-os 'ro, ')nan()n a(t)*)t)$s

In t#$ a/s$n($ o' an% )n'or,at)on to t#$ (ontrar%" )t ,ust /$ assu,$+ t#at t#$ )n(r$as$ )ns#ar$ (a&)ta- o' 120 000 as r$($)*$+ )n (as#. T#$r$ $r$ a-so a++)t)ona- /orro)ns o' 0 000.

Ha*)n (ons)+$r$+ t#$ (as# '-os asso()at$+ )t# t#$ o&$rat)n" )n*$st)n an+ ')nan()na(t)*)t)$s $ ar$ no )n a &os)t)on to (o,&)-$ t#$ stat$,$nt o' (as# '-os.



21/23

Caarita LtdStatement of Cash Flows

for the ear ended !0 "#ne 20$0

(000 (000

Cas# '-os 'ro, o&$rat)n a(t)*)t)$s

R$($)&ts 'ro, (usto,$rs >0Pa%,$nts to su&&-)$rs 9>0Pa%,$nts to $,&-o%$$s 9


22/23

&ote 2' R$(on()-)at)on stat$,$nt 'or (as# as s#on )n t#$ stat$,$nt o' (as# '-os.

Cas# at t#$ $n+ o' t#$ %$ar as s#on )n t#$ stat$,$nt o' (as# '-os )s r$(on()-$+ to t#$r$-at$+ )t$,s )n t#$ stat$,$nt o' ')nan()a- &os)t)on as 'o--os:

20$0 200)

(000 (000Cas# &$r stat$,$nt o' ')nan()a- &os)t)on an8 o*$r+ra't &$r stat$,$nt o' ')nan()a- &os)t)on 9B0Cas# as %$ar $n+ &$r stat$,$nt o' (as# '-os 9B0

&ote !' A((ount)n &o-)(% not$In t#$ stat$,$nt o' (as# '-os" =(as#6 )n(-u+$s (as# at /an8 an+ /an8 o*$r+ra't.

&ote %' D$ta)-s o' (r$+)t stan+/% arran$,$nts an+ us$+@unus$+ -oan 'a()-)t)$s

T#)s )s a r$u)r$+ not$. For Ca/ar)ta Lt+ t#$r$ ar$ no su(# 'a()-)t)$s.

&ote +' D$ta)-s o' non3(as# ')nan()n an+ )n*$st)n a(t)*)t)$sT#)s )s a r$u)r$+ not$. For Ca/ar)ta Lt+ t#$r$ $r$ no su(# transa(t)ons.

20.1>9a =Coo8 t#$ /oo8s6 )s an $4&r$ss)on t#at #as /$$n us$+ 'or ,an% %$ars an+ ,$ans t#at

so,$/o+% #as ,an)&u-at$+ t#$ a((ount)n r$(or+s so as to $n$rat$ a &r$+$t$r,)n$+or +$s)r$+ r$su-t. So,$/o+% #o )s )n*o-*$+ )n su(# an a(t)on )s (-$ar-% not /$)n=o/$(t)*$6 an+ #$n($ )s )nor)n on$ o' t#$ 'un+a,$nta- &r)n()&-$s o' a((ount)n. On$o' t#$ &r),ar% ua-)tat)*$ (#ara(t$r)st)(s o' a((ount)n )s r$-)a/)-)t% 9#)(# r$u)r$s"a,onst ot#$r t#)ns" t#at t#$ a((ount)n &ro($ss )s 'r$$ 'ro, /)as an+ #$n($

=(oo8$+ /oo8s6 ou-+ not sat)s'% t#)s $4&$(tat)on. $(aus$ ,an% &$o&-$ ,)#t us$')nan()a- r$&orts 'or *ar)ous +$()s)ons 9)n(-u+)n r$t)r$$s #o ar$ $-$(t)n to )n*$stt#$)r sa*)ns" su(# an a(t)on as =(oo8)n t#$ /oo8s6 )s to /$ +$&-or$+.

9/ A r$a+$r o' ')nan()a- r$&orts +o$s not #a*$ a(($ss to t#$ un+$r-%)n r$(or+s" an+#$n($" )t ou-+ not $n$ra--% /$ &oss)/-$ to +$t$r,)n$ t#at t#$ /oo8s #a*$ /$$n=(oo8$+6. In+$$+" t#os$ &$o&-$ )n*o-*$+ )n ,an)&u-at)n t#$ ')nan()a- r$&orts ou-+

&$r'or, t#$ ,an)&u-at)on )n a a% su(# t#at an% ,an)&u-at)on ou-+ /$ *$r% +)'')(u-tto +$t$(t. O't$n ,an)&u-at)on on-% /$(o,$s $*)+$nt #$n a (o,&an% su/s$u$nt-%$ts )nto ')nan()a- +)'')(u-t% an+ 'urt#$r )n*$st)at)on )s &$r'or,$+. On$ sa'$uar+"#)(# ($rta)n-% )s not )n'a--)/-$" )s t#$ a&&o)nt,$nt o' $4t$rna- au+)tors. A -ar$

(o,&an% -)8$ Harr)s S(ar' ou-+ #a*$ au+)tors a&&o)nt$+ #o ar$ r$u)r$+ to &ro*)+$ a r$&ort a/out #$t#$r t#$ ')nan()a- r$&orts (o,&-% )t# a((ount)nstan+ar+s an+ ot#$r $n$ra--% a(($&t$+ a((ount)n &r)n()&-$s. I+$a--%" t#$ au+)tor6sor8 s#ou-+ un(o*$r an% ,at$r)a- +$*)at)ons 'ro, a(($&t$+ a((ount)n &r)n()&-$s.Ho$*$r" t#$ au+)tor +o$s not (#$(8 t#$ a((ura(% o' $*$r% a((ount)n $ntr% 9,u(#sa,&-)n an+ &ro'$ss)ona- u+$,$nt )s )n*o-*$+ an+ #$n($ an% =(oo8)n o' t#$

/oo8s6 )-- not a-a%s (o,$ to -)#t.

9( It )s ($rta)n-% ,or$ +)'')(u-t to /$ =(r$at)*$6 )n r$-at)on to t#$ stat$,$nt o' (as# '-ost#an )t )s )n r$-at)on to t#$ stat$,$nt o' ')nan()a- &os)t)on or t#$ stat$,$nt o' ')nan()a-

&$r'or,an($. T#$ stat$,$nt o' ')nan()a- &os)t)on an+ t#$ stat$,$nt o' ')nan()a-

&$r'or,an($ ar$ $n$rat$+ as a r$su-t o' a((rua- a((ount)n" #)(# r$u)r$s ,u(#$st),at)on an+ &ro'$ss)ona- u+$,$nt. T#$ stat$,$nt o' (as# '-o" #o$*$r"

&ro*)+$s a r$(on()-)at)on o' o&$n)n an+ (-os)n =(as#6M/ot# o' #)(# ar$ 'a)r-%



23/23

=#ar+6 nu,/$rs #)(# ar$ not #$a*)-% /as$+ on u+$,$nt 9t#$r$ ,)#t /$ so,$aru,$nt a/out #$t#$r so,$t#)n (onst)tut$s (as#" /ut su(# aru,$nts ou-+$n$ra--% /$ -),)t$+ an+ #)(# (an /$ tra($+ +)r$(t-% an+ 'a)r-% $as)-% to r$(or+s

&ro*)+$+ /% $4t$rna- &art)$s" su(# as /an8s. T#$r$ )s so,$ &oss)/)-)t% o' ,an)&u-at)nt#$ (at$or)sat)on o' ($rta)n (as# '-os 9'or $4a,&-$" (-ass)'%)n a (as# '-o asr$-at)n to or+)nar% o&$rat)ons rat#$r t#an )n*$st,$nt a(t)*)t)$s" an+ &$r#a&s

no,)nat)n so,$t#)n as =(as#6 #$n )t s#ou-+ not /$M/ut t#$ a/)-)t% to +o t#)s )st%&)(a--% *$r% -),)t$+.

deegan5e sm ch20

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