QUESTION FOUR [25] The following information was extracted from the accounting records of Mode Lid for the financial year ended 30 June 2020. R Extract from: Statement of Profit or loss and other comprehensive Income of Mode Lid for the year ended 30 June 2020 Grows proft 140 000 Dividends received 43 000 Prolt on sale of machine 75 000 Depreciation (15000) Interest expense (180 000) Distribution, administration and other expenses 1403 000) Taxation (420 000) Prots for the year after taxation 540 000 Extract from: Statement of financial position of Mode Ltd as at 30 June 2020: 30 June 2020 30 June 2019 ASSETS R R Land and buildings 925 000 890 000 Machinery at carrying amount 875 000 250 000 Investments 235 000 385 000 Inventory 170 000 480 000 Trade debtors 140 000 400 000 Receiver of revenue - income tax 10 000 NI Bank balance 30 000 15 000 Total assets 2 385 000 2 420 000 EQUITY AND LIABILITIES EQUITY Ordinary share capital Retained earnings 1565 000 745 000 820 000 940 000 480 000 480 000 820 000 LIABILITIES Long term Borrowings Trade creditors Receiver of revenue - income tax Shareholders for dividende Total equity and liabilities 750 000 60 000 NI 1 400 000 1 050 000 352 000 43 000 35 000 10 000 2385 000 2 420 000 Additional Information 1. Shares were used for cash during the year 2. Dividends of R180 000 w oo were declared during the current financial your 3. On 31 October, machinery with a carrying amount of R110 000 was sold for cash replacement machine as well as additional machinery was purchased for cash. 4. No long term borrowings were made during the year 6 Westments were cold during the year. No ww investments were purchased Required: Take all the above information into account and prepare the statement of cash flows for Mode Ltd for the year ended 30 June 2020. Use the indirect method. Your answer must comply with the International Financial Reporting Standards (IFRS) appropriate to this type of business. Show all workings. Round off all workings to the nearest Rand. (25)