Question 2 Singa Ltd's statement of cash flows for the year ended 31 March 20X7 is as follows: Statement of Cash Flows For Year Ended 31 March 20X7 Cash flows from operating activities Profit before tax 33,750 Adjustments to reconcile profit to net cash provided by operating activities Depreciation expenses Increase in accounts receivable Decrease in accounts payable Increase in accrued expenses Increase in inventories Decrease in prepaid expenses Cash generated from operations Income tax paid Net cash used in operating activities 8,400 (7,800) (4,100) 900 (49,900) 120 (52,380) (18,630) (6,750) (25,380) Cash flows from investing activities Cash paid for equipment (10,000) Net cash used in investing activities (10,000) Cash flows from financing activities Cash paid to reduce the long-term notes payable Cash received from share issuance Net cash provided by financing activities (50,000) 75,000 Net decrease in cash Cash balance at 1 April 20X6 Cash balance at 31 March 20X7 25,000 (10,380) 35,670 25,290