Nacre SA prepares its statement of cash flows using the indirect method, under IFRS 18. Its operating profit is 905,000. It includes non-cash depreciation of 260,000. Inventories increased by 140,000 and trade payables by 30,000 during the year. Case convention: no other adjustment, interest and tax paid being dealt with separately. Calculate operating cash flow before interest and tax.
- Operating profit (starting point)
- 905,000
- Non-cash depreciation
- 260,000
- Increase in inventories
- 140,000
- Increase in trade payables
- 30,000