360 Question 2 The comparative statements of financial position for the years 2020 and 2021 and a summarised income statement for the year ended 30 June 2021 are shown below (Ignore GST and Tax): BRIGHTON BEACH LTD Comparative Statements of Financial Position as at 30 June 2020 ($'000) 2021($'000) Assets Cash 100 700 Accounts receivable 4 290 3 150 Inventory 6 000 6 600 Prepaid insurance 300 Equipment 19 200 25 500 Accumulated depreciation - equipment (6 000) (7 500) Land 20 400 24 000 Motor vehicles 14 550 15 600 Accumulated depreciation - motor vehicles (5 490) (6 300) Total assets 53 350 62 110 Liabilities Bank overdraft 400 160 Accounts payable 6 150 7950 Long-term mortgage 14 100 18 900 Total liabilities 20 650 27 010 Net assets 32 700 35 100 Equity Share capital 26 700 26 700 Retained earnings 6 000 8 400 Total equity 32 700 35 100 BRIGHTON BEACH LTD Income Statement for the year ended 30 June 2021 (S'000) Sales (on credit) Less: Cost of goods sold Gross profit Less: expenses (including depreciation) Profit 16 800 5 100 11 700 8 610 3 090 Additional information: Insurance expense for the year ended 30 June 2021 is nil. All other expenses were paid in cash (excluding depreciation). The company declared and paid cash dividend. The bank overdraft was considered to be part of the entity's everyday cash management activities. Required Prepare a statement of cash flows using the direct method for the year ended 30 June 2021 (show all workings)