Extracts from the consolidated financial statements of PolyCom Limited for the year ended 31 December 2017 are given below: Consolidated statement of profit and loss of PolyCom Limited for the year ended 31 December 2017 The following information is available: 1. There were no disposals of non-current assets during the year of 2017. Depreciation of $15,900,000 was included in the cost of sales in arriving at the profits for the year ended 31 December 2017. 2. Dividend paid by PolyCom Limited during the year amounted to $10,150,000. 3. On 1 January 2017, PolyCom Limited acquired 80% of the issued ordinary shares of Excele Limited. The purchase consideration was settled by issue of 4 million of its own ordinary shares plus $400,000 cash. PolyCom Limited's shares are traded at $2.1 per share at the date of acquisition. The net assets of Excele Limited at the date of acquisition were assessed as having the following fair values: (a) Prepare a consolidated statement of cash flows for PolyCom Limited for (20 marks) the year ended 31 December 2017 in accordance with HKAS 7 Statement of Cash Flows, using the indirect method to calculate cash flows from operating activities. (b) Based on your answer in part (a), briefly comment on the cash flow (5 marks) positions of PolyCom Limited. Extracts from the consolidated financial statements of PolyCom Limited for the year ended 31 December 2017 are given below: Consolidated statement of profit and loss of PolyCom Limited for the year ended 31 December 2017 The following information is available: 1. There were no disposals of non-current assets during the year of 2017. Depreciation of $15,900,000 was included in the cost of sales in arriving at the profits for the year ended 31 December 2017. 2. Dividend paid by PolyCom Limited during the year amounted to $10,150,000. 3. On 1 January 2017, PolyCom Limited acquired 80% of the issued ordinary shares of Excele Limited. The purchase consideration was settled by issue of 4 million of its own ordinary shares plus $400,000 cash. PolyCom Limited's shares are traded at $2.1 per share at the date of acquisition. The net assets of Excele Limited at the date of acquisition were assessed as having the following fair values: (a) Prepare a consolidated statement of cash flows for PolyCom Limited for (20 marks) the year ended 31 December 2017 in accordance with HKAS 7 Statement of Cash Flows, using the indirect method to calculate cash flows from operating activities. (b) Based on your answer in part (a), briefly comment on the cash flow (5 marks) positions of PolyCom Limited