The Grade 12 Accounting Test on Cash Flow and Interpretation emphasizes the importance of ethical behavior, transparency, and accountability in accounting.
It covers principles such as preparing the Ordinary Share Capital note in the Balance Sheet, calculating amounts for the Cash Flow Statement, and evaluating financial indicators like Debt-equity ratio, Return on total capital employed (ROTCE), and Net asset value per share (NAV).
To succeed in this test, students should regularly practice calculating financial indicators and interpreting cash flow data, review comprehensive resources, and seek clarification when needed. Mastering these concepts will not only benefit students academically but also lay a strong foundation for making informed financial decisions in the future.
The test also emphasizes the significance of reconciling cash flow statements with balance sheets and understanding the methodology for preparing a cash flow statement, including the direct and indirect methods.
You are provided with the information regarding DUBULA LTD for the financial year ending 30 June 2019.
What is required from you?
- Prepare the Ordinary Share Capital note in the Balance Sheet on 30 June 2019.
- Calculate the following amounts that will appear in the Cash Flow Statement:
- Income tax paid
- Dividends paid
- Purchase of fixed assets
- Calculate the following financial indicators on 30 June 2019:
- Debt-equity ratio
- Return on total capital employed (ROTCE)
- Net asset value per share (NAV)