PART B The comparative Statement of Financial Position for Magnificent Company Sdn. Bhd. appear below: Magnificent Company Sdn. Bhd. Comparative Statement of Financial Position 2020 2019 Assets Cash Account receivable Inventory Prepaid insurance RM38,000 18,000 25,000 7,000 RM13,000 14,000 15,000 9,000 Stock investments Equipment Accumulated depreciation- Equipment Total Assets 0 60,000 (18,000) 130,000 18,000 30,000 (14,000) 85,000 Account payable Bonds payable Common stock Retained earnings Total liabilities and stockholder's equity 25,000 37,000 40,000 28,000 130,000 7.000 45,000 23,000 10,000 85,000 Continued... Additional information: 1. Net income for the year ending December 31, 2020, was RM30,000. 2. Cash dividends of RM12,000 were declared and paid during the year. 3. Stock investments that had a book value of RM18,000 were sold for RM13,000. 4. Sales for 2019 are RM130,000. Required: Prepare a statement of cash flows for 2020 using the indirect method. (13 marks) (Total: 25 marks)