The following are the financial statements of Viral Bhd: Viral Bhd Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2021 RM Tumover 1,164,160 Cost of Sales (853,000) Gross Profits 311,160 Gain on disposal of motor vehicles Administrative expenses Selling and distribution expenses 15,580 (145,380) (28,000) Investment income 45,800 (23,000) Interest expenses Profit before tax 176,160 Tax charge for the year Profit for the year (44,040) 132,120 Viral Bhd Statement of Financial Position as at 31 December . 2020 2021 RM RM Non-Current Assets Property plant and equipment (note 1) Investments 323,000 320,220 1,340,000 804,000 Current Assets Inventories 66,000 78,700 Account receivables 123,800 144,050 Bank 102,700 333,340 571,280 2,251,590 Short tem fixed deposit 77,000 2,032,500 Equity and Liabilities Ordinary Share Capital Retained Earnings 1,900,000 228,570 1,650,000 172,200 Non-Current Liabilities 10% Bank Loan 90,000 45,000 Current Liabilities 78,450 Account payables Tax payables Dividend payables Accrued expenses 36,370 11,000 10,200 13,000 27,000 18,650 3,650 2,032,500 2,251,590 Note to the accounts: 1. Property, plant and equipment 2020 2021 RM RM Motor Vehicies (cost) Accumulated depreciation Furnitures (cost) Accumulated depreciation Carrying value 340,000 249,300 (136,000) 170,000 (51,000) 323,000 (116,340) 250,800 (63,540) 320,220 Additional Information: Included in administrative expenses are depreciation charged for property, plant and equipment. 1. 2. Viral Bhd disposed an old motor vehicle with a carrying amount of RM54,420 for cash. There was no purchase of motor vehicles during the year. The company also acquired a new fumiture costing RM80,800 for cash during the year. Last year dividend payable was paid together with the current year interim dividend of 3. RM48,750. 4. The increase in the ordinary shares was due to the issue of new shares to the public during the year. 5. Part of the investment was sold during the year and no purchase of investment was made. 6. The short-term fixed deposit qualified as cash equivalent. REQUIRED: Prepare the Statement of Cash Flow for the year ended 31 December 2021 for Viral Bhd using the DIRECT METHOD and in compliance with MFRS 107. a. (22 marks) A statement of cash flow is one of the statutory financial statements presented by companies. The statement must be prepared in compliance with MFRS 107. Briefly describe the cash flow performance of Viral Bhd for the financial year ended 31 December 2021. (3 marks) (Total: 25 marks)