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Chapter 17

Some workings, such as for property, plant and equipment may be relevant for more
than one item in the statement of cash flows – the depreciation charge is an
adjustment to profit before tax within ‘operating activities’ and the cash paid is an
‘investing activity’ cash outflow.

Property, plant and equipment – carrying amount
Date Details $ Date Details $

Bal b/fwd (per opening SOFP) X In year Depreciation X
In year Cash paid X In year Disposals at CA X

In year Part-ex value X
In year Revaluation X Bal c/fwd (per closing SOFP) X
––– –––

X X
––– –––

Also, be aware that any one figure could be missing that could be relevant to the
statement of cash flows. It will not always be the cash inflow/outflow that is missing.
For example, in the working above, you may be given all relevant information, except
for the depreciation charge, which can then be identified as a balancing or missing
figure.

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