UESTION 1 (25 Marks) REQUIRED Study the statement of cash flows of Mantis Limited for the year ended 31 December 2021 and answer the following questions: 1.1 Calculate the following for the year ended 31 December 2021: 1.1.1 Depreciation (2 marks) 1.1.2 Dividends paid (2 marks) 1.2 Of what significance is this statement of cash flows to the shareholders of Mantis Limited? (1 mark) 1.3 Comment on the following: 1.3.1 Cash flows from operating activities (R181 800) (4 marks) 1.3.2. Increase in inventory (R808 000) (4 marks) 1.3.3 Increase in receivables (R606 000) (4 marks) 1.3.4 Interest paid (R80 800) (4 marks) 1.3.5 Cash flows from investing activities (R2 343 200) (4 marks) INFORMATION MANTIS LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2021 R Cash flows from operating activities (181 800) Operating profit 979 700 Depreciation ? Profit before working capital changes ? Working capital changes (808 000) Increase in inventory (808 000) Increase in receivables (606 000) Increase in payables 606 000 Cash generated from operations 494 900 Interest paid (80 800) Dividends paid ? Income tax paid (272 700) Cash flows from investing activities (2 343 200) Purchase of plant and equipment (2 343 200) Cash flows from financing activities 0 - 0 Net decrease in cash (2 525 000) Cash balance (31 December 2020) 3 232 000 Cash balance (31 December 2021) 707