Additional information:The Income Statement and general ledger for the year ended 30th June 2019 reflected the following:PERFORMANCE DETAILSSales 3,030,053Less: sales returns (59,413)Net sales 2,970,640Cost of goods sold 1,928,360General expenses (All expenses EXCLUDING depreciation, bad debts written off & Income tax expense) 606,482Income tax expense 97,860Bad debts written off 2,840Depreciation expense 109,624Profit after tax $225,473 1. A fully depreciated machine with a cost of $14,200 was scrapped during the year. No proceeds were received when it was scrapped.2. New equipment was purchased for cash during the year.3. No new debentures were issued during the current year.4. As at 1st July 2018, Egoly had 284,000 shares issued, at an issue price of $3 per share. During the current year, Egoly issued an additional 213,000 fully paid shares at an issue price of $3 per share.5. A cash dividend of 40c per share was declared and paid during the year on all issued shares including those issued during the year.6. Bills payable are used by Egoly as part of their longer-term cash management and are repayable within five years.REQUIRED:1. Prepare a cash flow statement for Egoly Ltd using the DIRECT method for the year ended 30th June 2019. [18 Marks]2. Wayne Deng is reviewing the statement of cash flows for his technology business. The statement has been provided by his accountant. He is concerned that the statement shows net cash outflows for investing activities. Discuss if Wayne should be worried by this. [3 marks].PLEASE ANSWER IN TABLE FORMAT FOR EASIER UNDERSTANDING! THANK YOU

QUESTION 3 (21 MARKS) The following information relates to Egoly Ltd for the year ended 30" June 2019: EGOLY LTD BALANCE SHEET AS AT 30th JUNE 2019 2019 2018 $ $ ASSETS Current Assets Cash at bank 67,710 59,666 Accounts receivable 252,760 283,290 Inventory 1,107,600 951,400 Prepaid expenses 113,600 35,500 Total current assets 1,541,670 1,329,856 Non-current assets Equipment 1,263,800 823,600 Accumulated depreciation - equipment (238,560) (143,136) Total non-current assets 1,025,240 680,464 TOTAL ASSETS 2,566,910 2,010,320 LIABILITIES & SHAREHOLDERS EQUITY Current Liabilities Accounts payable 348,916 391,940 Accrued expenses 36,920 44,000 Income tax payable 24,400 28,000 Total current liabilities 410,236 463,940 Non-current liabilities Bills payable 75,260 45,440 Debentures payable 198,800 284,000 Total non-current liabilities 274,060 329,440 TOTAL LIABILITIES 684,296 793,380 Shareholders' Equity Share capital 1,491,000 852,000 Retained profits 391,614 364,940 Total shareholders' equity 1,882,614 1,216,940 TOTAL LIABILITIES & SHAREHOLDERS EQUITY 2,566,910 2,010,320