Question B4 The following data are extracted from the financial statements of Lala Company: Income Statement: 2020 $24.200 | Profit Gain/Loss on sale of machine Depreciation expense Amortization expense of patent 13,500 9,000 Statement of Financial Position: 30 June 2020, 30 June 2019 M ER Cash IN ALWWLWWW $310.000 Accounts receivable 137.200 119,700 Inventory 10353.200 4 00,000 Interest payable 39.100 WWW.KK51,200% Accounts payable 218.100 185.800 Additional Information: (1) Made a loan of $30,000 to the ABC Company. (2) Repaid a 3-year loan of $100,000 to Hang Seng Bank! (3) Sold the old machine at cash of $122.500 (the cost of the machine is $175.500 and the accumulated depreciation at disposal was $55.000). (4) Purchased a new machine for cash at $300,000. (5) Paid cash dividend of $0.15 per share for the 220,000 ordinary shares issued and outstanding Required: (a) Prepare the statement of cash flows for the year ended 30 June 2020 using the indirect tid for Lala Company. (12 marks) In preparing the statement of cash flows under indirect method, state how to deal with a gain on sale of property, plant and equipment? Give one reason to support your answer (2 marks) (c) Which section of business activities in the statement of cash flow is least likely to show positive nel cash flows in a conful and growing business? (1 mark)