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SHERS m[10] The following information was extracted from the accounting records of Humid Limited for the year ended 31 May 2020:| Humid Ltd Extract from the statement of financial position as at 31 May 2020. Humid Ltd Summary of the statement of profit and loss and other comprehensive income for the year ended 31 May 2020 31 May 2020 R 90 000 5 000 Inventories - merchandise - - Stationery Trade debtors Bank Trade creditors Prepaid expenses Accrued expenses 31 May 2019 R 122 000 5 800 298 000 53 000 178 000 1 800 17 600 330 000 147 000 170 000 4 200 31 May 2020 R 1 840 000 (980 000) 860 000 Sales Cost of sales Gross profit 16 800 185 000 123 000 62 000 Required: Other income Commission income Profit on sale of non-current asset Prepare the following section of the statement of cash flows of Humid Limited for the year ended 31 May 2020: "Cash generated by operations section only Distribution administration and other expenses Audit fees Depreciation Salaries and wages Other expenses (625 000) 58 000 80 000 402 000 85 000 Note that the entire "cash flows from operating activities" section is not required. Humid Limited uses the indirect method to prepare its statement of cash flows. Finance cost Interest on borrowings (40 000) 40 000 Profit before taxation Income tax expense (80 000) Profit / total comprehensive income for the year 300 000

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