Question 3 The financial statements of Box Hill Enterprise are presented below: Box Hill Enterprise Balance Sheet as at 30 June... Assets Cash Accounts receivable Inventory Investments (long term) Plant and equipment Accumulated depreciation Total Assets Liabilities and Equity Accounts payable Accrued expenses payable Long term loan Capital Total Liabilities and Equity 2014 2013 $95,000 47.250 57,000 102, 650 87,000 205,000 (40,000) $588800 $458.900 86,800 121,900 84,600 250,000 49,500) 52,700 12,100 100 000 424.000 $48.280 18,830 70,000 321.790 $588.800$458.900 Income Statement For the year ending 30 June 2014 Sales Less Cost of sales Gross Proft Proceeds from the sale of equipment 300,000 99,460 200, 540 15.550 216,090 Less Expenses Operating expenses (excluding depreciation expense) Interest expense Depreciation expense Carrying value of equipment Income tax Net profit 14,670 5,440 49,700 6,800 7.270 83880 Additional information: a) New equipment and machinery were purchased for cash during the year. b) Equipment costing $47,000 was sold for $15,550 c) Investments were sold at cost Required: Prepare a statement of cash flows using the direct method