You are given the following balance sheets of Deepak Sharma’s business as at 31 December:

There were no disposals of non-current assets during 2025.
Required:
In accordance with the requirements of IAS 7, prepare the statement of cash flows for the year ended 31 December 2025 using the indirect method.

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Non-current assets Property, plant & equipment at cost Less Accumulated depreciation Current assets Inventory Trade receivables Cash at bank and in hand Total assets Current liabilities Trade payables Net assets Capital Opening capital Add Net profit for year Add Cash introduced by owner Less Drawings Closing capital 31 December 2025 11,950 12,640 1,840 71,590 (32,710) 38,880 26,430 65,310 (16,320) 48,990 39,250 16,560 7,500 (14,320) 48,990 31 December 2024 9,920 13,310 1,070 61,140 (26,350) 34,790 24,300 59,090 (19,840) 39,250 33,830 15,290 4,000 (13,870) 39,250