Simplified financial statements for York plc are as follows:

Notes:
1 Operating expenses include depreciation of £13 million and a surplus of £3.2 million on the sale of non-current assets.
2 The expense and the cash outflow for interest payable are equal.
3 A dividend of £3.5 million was paid during 2010.
4 Non-current asset costs and depreciation:

Required: Prepare a statement of cash flows for York plc for the year ended 30 September 2010.

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Income statement for the year ended 30 September 2010 £m Revenue 290.0 (215.0) Cost of sales Gross profit Operating expenses (Note 1) Operating profit Interest payable (Note 2) 75.0 (62.0) 13.0 (3.0) Profit before taxation 10.0 Taxation (2.6) Profit for the year 7.4 Statement of financial position as at 30 September 2009 2010 £m £m ASSETS Non-current assets (Note 4) 80.0 85.0 Current assets Inventories and trade receivables 119.8 122.1 Cash at bank 9.2 16.6 129.0 138.7 Total assets 209.0 223.7 EQUITY AND LIABILITIES Equity Share capital 35.0 40.0 Share premium account 30.0 30.0 Reserves 31.0 34.9 96.0 104.9 Non-current liabilities Borrowings Current liabilities 32.0 35.0 Trade payables 80.0 82.5 Taxation 1.0 1.3 81.0 83.8 Total equity and liabilities 209.0 223.7