Habiba and Khaled Al Mheiri founded the Middle East Time Company back in 2010. Today, as a profitable and successful business, the company manufactures a wide variety of high-quality watches and clocks. In 2020, the firms operating profit is $150 million. Depreciation and amortization expense takes up 12.666% of its operating profit. The companys interest expense for the loan it has borrowed from HSBC is $15 million. The applicable corporate taxation rate is 40%. Further information about the companys financial position can be obtained from its balance sheet extracts for years 2019 and 2020 below:

• To answer the questions that follow on the next page, place your responses in the templates provided.
• Round all your answers and intermediate calculations to the nearest number (no decimals).
• In this question, you will need to recreate the firms cash flow statement.

1. Calculate the companys cash flow from operating activities for the year.

2. Determine the companys cash flow from investing activities for the year.

3. Find the companys cash flow from financing activities for the year.

4. Estimate the firms cash balance at the end of the year.

2020 2019 56 5 30 Balance sheet in alphabetical order) Accounts payable Accounts receivable Accruals $ S 70 5 65 5 20 $ 15 Cash 5 25 5 23 Common stock $ 43 5 43 Depreciation $ (55) $ (36) Gross Fixed Assets $ 419 5 326 Inventory 5 110 5 100 Long-term debt 1955 190 $ $ Net Fixed Assets 305 5 290 Notes payable $ 45 5 45 Retained earnings S 210 5 155