Comparative statements of financial position as at 31 December 2025 and 2024 and the statement of financial performance for 2025 for C. Dion are set out below.

Required

(a) Prepare a statement of cash flows for the year ended 31 December 2025 in accordance with the direct method.

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C. Dion Comparative statements of financial position as at 31 December Assets 2025 2024 Cash on hand and at bank $91 600 $134 400 Accounts receivable 161 400 151 200 Inventory Plant and equipment 196 200 208 800 408 000 300 000 Accumulated depreciation-plant and equipment (180 000) (162 000) 677 200 632 400 Liabilities and equity Accounts payable Expenses payable Long-term loan payable C. Dion, capital C. Dion Statement of financial performance for the year ended 31 December 2025 $140 400 $132 600 77 400 83 400 60 000 399 400 416 400 677 200 632 400