2 (25 marks) Edison Car Wash Company Limited ("ECW") provides car washing and polishing services to customers. It has 25 branches in Hong Kong and is listed on the Hong Kong Stock Exchange. The following is the information obtained from ECW's accounting records for the year ended 31 December 2019. All the amounts are in HKD millions. Transactions Proceeds from the sale of machinery on 30 June 2019 Cash dividends declared and paid Issuance of preferred stock Interest and taxes paid Cash paid to suppliers Purchase of land Collection from customers Payment of long-term debts Required: a. 150 1,060 980 290 3,000 550 6,800 440 (16 marks) Discuss THREE objectives of implementing effective internal control activities in a company and identify FIVE constructive internal control activities on cash management of a company. b. With reference to the given information, calculate with workings the net cash provided (used) by operating activities for ECW for the year ended 31 December 2019. (2 marks) C. With reference to the given information, calculate with workings the net cash provided (used) by investing activities for ECW for the year ended 31 December 2019. (2 marks) d. With reference to the given information, calculate with workings the net cash provided (used) by financing activities for ECW for the year ended 31 December 2019. e. (2 marks) With reference to the given information, calculate with workings the net cash increase or decrease for the year ended 31 December 2019. (3 marks) [Total marks for Question 2: 25 marks]