The Asia Manufacturing Company prepared the following information relevant to Statement of Cash flows.

Balance Sheet

Account Title	31- Dec-2019	31- Dec-2020
Cash	Rs. 200,000	62,000
Accounts Receivable.net	60,000	82,000
Inventory	12,000	20,000
Prepaid expenses	6,000	10,000
Equipment . net	300,000	500,000
Patent	90,000	70,000
Total assets	668,000	742,000
Accounts payable	40,000	60,000
Salaries payable	60,000	50,000
Interest payable	6,000	9,000
Income Tax payable	12,000	20,000
Mortgage payable	120,000	110,000
TFCs payable	200,000	100,000
Ordinary shares	158,000	173,000
Unappropriated profit	72,000	220,000
Total liabilities & Shareholder Equity	668,000	742,000

Income Statement

For the year ended 31, December 2020

Sales	Rs. 820,000
Cost of Goods Sold	(380,000)
Depreciation Expense	(100,000)
Amortization Expense	(20,000)
Other Expenses	(46,000)
Gain, excess of insurance proceeds over book value of equipment destroyed	10,000
Premium on redemption of TFCs	(7,000)
Interest Expense	(22,000)
Income Tax expense	(72,000)
Net Income	(183,000)

Additional Information

1. Asia Manufacturing Company declared and paid Rs.35, 000 of dividend in 2020.
2. Equipment (Cost 100,000: accumulated depreciation Rs. 60,000) was destroyed by fire. Proceeds from insurance: Rs.50000.
3. TFCs were redeemed on January 1, 2020 at 7% premium.

Required:

1. Prepare Statement of Cash flow for the year 2020 using Direct Method . (7)
2. Using Indirect method prepare only Operating Section. (3)