A) Prepare fully classified statement of cash flows using direct method and answer question A&b

QUESTION TWO Statements of Financial Position for Graham Ltd as at 30 June 2014 and 30 June 2015 are provided below Graham Ltd Statement of Financial Position as at 30 June 2014S 2015 Cash at Bank 68,000 121,000 44,000 241,000 309,000 56,000 139,000 41,000 241,000 404,000 Land Plant and Machinery Total Assets 783,000 802,000 Accounts Payable Tax Payable Loan Total Liabilities 55,000 16,000 54,000 23,000 362,000 439,000 607,000 Share Capital Retained Earnings Total Shareholders' Equity Total Liabilities and Shareholders Equity783,000 802,000 150,000 26,000 176,000 240,000 123,000 363,000 Income Statement of Graham Ltd for the financial year ended 30 June 2015 is provided Graham Ltd Income Statement for the year ended 30 June 2015 614,000 Sales Less: Cost of Sales Interest Expense Other Operating Expenses Tax Expense Total Expenses Profit 307,000 23,000 91,000 46,000 (467,000) 147,000 Additional Information: 1. New machinery was purchased for cash during the year. 2. Interim dividend of $50,000 was paid during the year 3. Other Operating Expenses include depreciation expense of $79,000. 4. Additional shares were issued for cash during the year