The following information has been extracted from the books of Nimmo Limited for the year to 31 December 19 X9:

and they attribute this mainly to the increase in trade debtors as a result of alleged poor credit control.
2 During the year to 31 December 19 X9, fixed assets originally costing \(£ 5,500,000\) were sold for \(£ 1,000,000\). The accumulated depreciation on these assets as at 31 December \(19 \mathrm{X} 8\) was \(£ 3,800,000\).
Required Prepare a cash flow statement for the year to 31 December 19X9.
Author's note: Use the indirect method but do not attempt to provide the reconciliation of net cash flow to net debt.

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Profit and Loss Accounts for year to 31 December 19X8 19X9 ' 000 000 Profit before taxation Taxation Profit after taxation Dividends: 9,500 20,400 (3,200) (5,200) 6,300 15,200 Preference (paid) (100) (100) Ordinary: interim (paid) (1,000) (2,000) final (proposed) (3,000) (6,000) Retained profit for the year 2,200 7,100