The statements of financial position of Axis plc as at 31 December 2014 and 2015 and the income statement for the year ended 31 December 2015 were as follows:

1 During the year, plant (a non-current asset) costing £15 million, and with accumulated depreciation of £10 million, was sold.
2 The short-term investments were government securities, where there was little or no risk of loss of value.
3 The expense and the cash outflow for interest payable were equal.
4 During 2015 a dividend of £14 million was paid.

Required:

(a) Prepare a statement of cash flows for Axis plc for the year ended 31 December 2015.

(b) Prepare a reconciliation of liabilities from financing activities for the year ended 31 December 2015.

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Statements of financial position as at 31 December ASSETS Non-current assets Property, plant and equipment Land and building at cost Accumulated depreciation Plant and machinery at cost Accumulated depreciation Current assets Inventories Trade receivables Short-term investments Cash at bank and in hand Total assets EQUITY AND LIABILITIES Equity 2014 2015 m m m m 130 130 (30) 100 (32) 70 80 (17) 53 (23) 153 25 16 41 194 224 $ &~ 57 155 26 12 Share capital Retained earnings 100 100 36 40 136 140 Non-current liabilities Borrowings - 10% loan 20 40 notes Current liabilities Trade payables 31 Taxation 7 38 Total equity and liabilities 194 224