1. (20 marks) Consider the following financial statements about DANIEL Co. for the current year 2015 I/S for the year ended Dec. 31, 2015 Sales $16,000 CGS 10,000 Operating expenses 4,000 Profit from operations (EBIT) 2,000 Interest expense 200 EBT Tax expense NI 1,800 600 $ 1,200 Additional information: Operating expenses include $150 of depreciation expense and a $200 impairment loss on equipment. A/R increased by $380 Inventory decreased by $100 Prepaid expenses related to operating expense increased by $80 A/P decreased by $360 Accrued liabilities related to operating expenses decreased by $180 Interest payable decreased by $20 Unearned revenue received from customers decreased by $34 Income tax payable increased by $40 Required: Prepare CFO section of the cash flow statement under the (a) DIRECT (12 marks); and (b) INDIRECT methods (8 marks)