Comparative Statements of Financial Position as at 30 June 2019 2019 2018 Assets Cash $48,300 $30,000 Deposits at call 3,800 2,300 Accounts receivable 28,000 20,000 Bills receivable 2,000 3,000 Allowance for doubtful debts (1,500 (1,100) Inventory 57,000) 58,000 Prepaid expenses 6,500 2,300 Interest receivable 1,000 1,200 Shares in listed companies 22,000 41,000 Land (at cost) 42,000 42,000 Buildings (at cost) 214,900 144,000 Accumulated depreciation - buildings (62,900) (57,000) Equipment 108,000 93,000 Accumulated depreciation - equipment (34,700) (42,000) Deferred tax asset 8,600 7,300 Total Assets 443,000 344,000 Liabilities & Equity Bank overdraft 15,000 6,000 Accounts payable 71,400 50,000 Accrued expenses 5,900 5,000 Current tax liability 8,000 9,000 Final dividend payable 13,000 19,000 Mortgage loan 30,000 0 Debentures 108,000 90,000 Deferred tax liability 14,000 12,000 Share capital (ordinary shares, $1 fully paid) 154,000 111,000 General reserve 6,000 0 Retained earnings 17,700 42,000 Total Liabilities and Equity 443,000 344,000 Comparative Statements of Financial Position as at 30 June 2019 2019 2018 Assets Cash $48,300 $30,000 Deposits at call 3,800 2,300 Accounts receivable 28,000 20,000 Bills receivable 2,000 3,000 Allowance for doubtful debts (1,500 (1,100) Inventory 57,000) 58,000 Prepaid expenses 6,500 2,300 Interest receivable 1,000 1,200 Shares in listed companies 22,000 41,000 Land (at cost) 42,000 42,000 Buildings (at cost) 214,900 144,000 Accumulated depreciation - buildings (62,900) (57,000) Equipment 108,000 93,000 Accumulated depreciation - equipment (34,700) (42,000) Deferred tax asset 8,600 7,300 Total Assets 443,000 344,000 Liabilities & Equity Bank overdraft 15,000 6,000 Accounts payable 71,400 50,000 Accrued expenses 5,900 5,000 Current tax liability 8,000 9,000 Final dividend payable 13,000 19,000 Mortgage loan 30,000 0 Debentures 108,000 90,000 Deferred tax liability 14,000 12,000 Share capital (ordinary shares, $1 fully paid) 154,000 111,000 General reserve 6,000 0 Retained earnings 17,700 42,000 Total Liabilities and Equity 443,000 344,000 Additional information: i) Other operating expenses include depreciation on equipment ($6,300) and on buildings ($5,900). ii) Shares in listed companies with a carrying amount of $19,000 were sold for cash. iii) New buildings were purchased for cash. iv) New equipment was purchased at a cost of $40,600; $10,600 was paid in cash and the balance covered by arranging a long-term mortgage loan with Bank East Ltd. v) Additional debentures and shares were issued for cash. vi) An interim dividend was paid and an amount of $6,000 was transferred from retained earnings during the year. vii) The bank overdraft is repayable on demand and is part of the company's short-term cash management arrangement. Required a) Prepare Bantex Ltd's cash flow statement for the year ended 30 June 2019 using the Direct Method. Show all workings. (34 marks) b) Prepare a note to the statement reconciling net cash used in operating activities with profit. (16 marks)