The condensed financial data of Freshest Farmers Ltd follow. FRESHEST FARMERS LTD Statement of financial position as at 31 March 2019 2019 2018 ASSETS Cash Accounts receivable Inventories Prepaid expenses Investments Plant and machinery Accumulated depreciation Total assets LIABILITIES AND EQUITY Accounts payable Accrued expenses payable Debentures payable Share capital Retained earnings Total liabilities and equity $147 000 $ 57800 136 200 49500 168 750 154 275 27 600 24000 162000 141000 405 000 363 750 (75000) (78000) $971550 $712 725 $138000 25050 127 500 330 000 351 000 $971550 $100 950 25500 150 000 277 500 158 175 $712 125 $513000 FRESHEST FARMERS LTD Statement of profit or loss for the year ended 31 March 2019 Sales Less: Cost of sales Operating expenses, excluding depreciation Depreciation expense Income tax Interest expense Loss on sale of machinery Profit $173 190 18615 69 750 10500 3345 11250 286 850 $ 226350 Additional information: 1. New machinery costing $127 500 was purchased for cash during the year. 2. Old machinery having an original cost of $86 250 was sold for $2250 cash. 3. Debentures matured and were paid off at face value for cash. 4. A cash dividend of 833 525 was declared and paid during the year. 5. Accounts payable pertain to inventory creditors. Required (a) Prepare a statement of cash flows for Freshest Farmers Ltd using the direct method for operating cash flows