7 2020 '000 470 250 720 212 157 0 369 QUESTION 3 - 20 marks Mason Ltd.'s financial statements can be seen below: STATEMENTS OF FINANCIAL POSITION As at 31st March 2021 '000 Non-current assets Property, plant and equipment 488 Investments 250 Total non-current assets 738 Current assets Inventories 231 Trade receivables 140 Cash at Bank 15 Total current assets 386 Total assets 1,124 Current liabilities Trade payables 182 Accrued interest payable 3 Taxation 28 Bank overdraft 0 Total current liabilities 213 Non-current liabilities Long-term loans 90 Total liabilities 303 Equity Share capital 220 Share premium account 70 Retained earnings 531 Total Equity 821 1.124 1,089 176 0 55 23 254 130 384 200 60 445 705 1,089 Turn over 8 STATEMENT OF PROFIT OR LOSS For the year-ending 31March 2021 '000 Revenue 752 Cost of sales (387) Gross profit 365 Operating expenses (225) Operating profit 140 Dividend received 22 Interest payable (18) Profit before tax 144 Taxation (28) Profit for the year 116 The operating expenses include employee salaries of 148,000 and depreciation of equipment of 70,000. There were no disposals of non-current assets during the year to 31* March 2021. A dividend of 30,000 was paid in June 2020. Required: (a) Calculate Mason's cash generated from operations, in line with IAS7, using the direct method. You are not required to prepare a full Statement of Cash Flows. (13 marks) (b) Calculate Mason's cash generated from operations, in line with IAS7, using the indirect method. You are not required to prepare a full Statement of Cash Flows. (7 marks)