2020 R Vincent Kruger has traded as Shange Stores for the past five years. The following are the balances extracted from the ledger of Shange Stores at 31 December 2019 R CREDITS Accounts payable 90 000 45 000 Bank overdraft 46 500 Long term loan: Metro Bank 150 000 165 000 Capital: Vincent Kruger 432 870 352 470 Accumulated depreciation: Plant and machinery 84 368 82 650 Gain on revaluation of land 49 500 R853 238 R645 120 DEBITS Accounts receivable 91 500 72 000 Bank 12 450 Land, at valuation 408 000 340 500 Plant and machinery, at cost 229 500 166 650 Inventory 85 168 35 700 Vehicles, at carrying amount 39 070 17 820 R853 238 R645 120 The following information related to the 2020 financial year: 1. Vincent made an additional contribution of a vehicle valued at R25 750 as well as cash and withdrew R75 150 for his personal use 2. A profit of R100 500 was generated in 2019 and R107 370 was generated in 2020, 3 During the year, plant and machinery with a cost of R9 000, and which had been depreciated by R6 150, was sold at a profit of R900. Later in the year, a new machine was purchased to replace the plant and machinery sold. 4. Inventory of R2 500 was donated to a local children's home. 5. There were no sales of land during the year. 6. There were no purchases or sales of vehicles during the year REQUIRED: (a) Prepare a Statement of Cash Flows for Shange Stores for the year ended 31 December 2020 (b) Vincent has asked you to explain why, although he is showing a profit, his bank balance has decreased (1) Note: Show all workings clearly. Work to the nearest R1