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The following information is taken from the records of SN Ltd.: SN Ltd. Balance Sheets as at 31 December 2019 2020 $ $ $ $

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The following information is taken from the records of SN Ltd.: SN Ltd. Balance Sheets as at 31 December 2019 2020 $ $ $ $ $ $ Fixed assets at cost 24,375 21,135 less accumulated depreciation (9.105) 15,270 (7.965) 13,170 Current assets Stock 13,755 18,060 Debtors 6,060 9,465 Less Provision for bad debts (240) 5,820 (435) 9,030 Bank 12.030 2,820 31,605 29,910 Less Current liabilities Proposed dividend 6,000 4,500 Taxation 5,970 3,105 Trade creditors 3,405 (15.375) 16.230 2,160 (9,765) 20.145 31,500 33,315 Debentures (4,500) 27,000 33,315 Issued share capital 15,000 20,250 General reserve 5,625 8,625 Profit and loss account 6.375 4.440 27,000 33,315 Additional information: (a) Fixed assets which cost $3,240 and had a net book value of $540 were disposed of during the year ended 31 December 2020 at a price of $300. There were no other acquisitions or disposals of fixed assets during the year. (6) The total depreciation on fixed assets for the year was $1,560. (c) The corporation tax outstanding at 31 December 2019 of $5,970 was paid on 31 July 2020. (d) The proposed ordinary dividend at 31 December 2019 of $6,000 was paid on 1 March 2020. (e) During the year, 5,250 ordinary shares were issued at a price of $1.00 each. (1) The operating profit for the year ended 31 December 2020 is $8,670. (9) The company redeems / buys-back all its outstanding debentures at the beginning of the year, thus no interest was required to be paid on them. Required: Prepare a cash flow statement for the year ended 31 December 2020 for SN Ltd. in accordance with FRS 1. You need to include Note 1 (Reconciliation of operating profit to net cash inflow from operating activities) with the cash flow statement in your answer. the cash-flow statement must be prepared in Proper Form

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