Cima C02 Exam Question No 33

Question No 33:

The following information was extracted from the balance sheets of ABC at 31 December Year 2 and at 31 December Year 1:

                                               Year 1                 Year 2
Stock                                     100                       120
Debtors                                 140                        175
Trade creditors                     120                       140
other creditors                      55                          75

What figure should appear as part of the cash flow statement for the year ended 31 December 2002?

A. $25,000 outflow
B. $15,000 outflow
C. $15,000 inflow
D. $25,000 inflow

Answer: B