Decrease in payables (664 000) Cash generated from operations 12 200 000 Interest paid (3 744 000) Dividends paid ? Income tax paid (2 880 000) Cash flows from investing activities (8 384 000) Non-current assets purchased (10 576 000) Proceeds from sale of equipment 2 192 000 Cash flows from financing activities 8 640 000 Proceeds from issue of ordinary shares 2 880 000 Increase in long-term borrowings 5 760 000 Net increase in cash and cash equivalents ? Cash and cash equivalents at beginning of year 1 440 000 Cash and cash equivalents at the end of year