Below are the Statement of Financial Positions of ABC Company as at March 31", 20X8 and 20X7, together with the Statement of Profit or Loss and Other Comprehensive Income for the same period 20X8 20X7 $'000 $'000 Non-current assets 737 Property, plant and equipment Development expenditure 160 897 Current assets Inventories Trade receivables Investments Cash Total assets Equity Share capital - $1 ordinary shares Share premium Revaluation surplus Retained earnings Non-current liabilities 6% debentures Finance lease liabilities Deferred tax Current liabilities Trade payables Finance lease liabilities Current tax Debenture interest Bank overdraft Total equity and liabilities 925 290 1,215 360 274 143 29 806 2,021 500 350 160 229 1,239 150 100 48 298 274 17 56 5 132 484 2,021 ***** *** *** 227 324 46 117 714 1,611 400 100 60 255 815 100 80 45 225 352 12 153 54 571 1,611 STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME $'000 1,476 Revenue Cost of sales (962) Gross profit 514 Other expenses (157) Finance costs (15) Profit before tax 342 Income tax expense (162) Profit for the year 180 Other comprehensive income: Gain on revaluation of property, plant and equipment 100 Total comprehensive income for the year 280 Notes: i) During 20X9, Amortization of $60,000 was charged on development projects. ii) During 20X8 items of Property, Plant & Equipment with a Carrying amount of $103,000 were sold for $110,000. Profit on sale was netted off against other expenses. Depreciation charged in the year on Property, Plant & Equipment totaled $57,000. ABC purchased $56,000 worth of P,P,&E by means of finance leases, payment being made in arrears on the least day of each accounting period. The current assets investments are government bonds and management has decided to class them as cash equivalents. iv) The new debentures were issued on April 1st, 20X7. Finance cost includes debenture interest and finance lease finance charges only. During the year ABC made 1 for 8 bonus issue, capitalizing its retained earnings, followed by a rights issue. Required: a) Prepare a Statement of Cash Flows for ABC in accordance with IAS-7 using indirect method. b) Additionally, prepare net cash from operating activities using Direct method.