Sigma plcs income statement for the year ended 31 March 2020 and the statements of financial position as at 31 March 2019 and 2020 are provided below.

Income Statement for the year ended 31 March 2020
	m
Revenue	600
Cost of Sales	(360)
Gross Profit	240
Administrative expenses	(90)
Distribution expenses	(60)
Operating Profit (PBIT)	90
Interest income	12
Interest expense	(36)
Profit before Tax	66
Taxation	(15)
Profit for the year	51

Statements of Financial Position as at 31 March:
	2019		2020
	m		m
Non-Current Assets
Property, Plant & Equipment (PPE)	600		648
Current Assets
Inventories	144		122
Trade Receivables	85		258
Bank	75		-
Total Current Assets	304		380
Total Assets	904		1,028
Equity
Ordinary Share Capital of 1 each	500		600
Share Premium	-		50
Retained Earnings	40		66
Total Equity	540		716
Non-Current Liabilities
Borrowings - loan notes	240		150
Current Liabilities
Trade payables	80		96
Bank	-		18
Interest payable	24		30
Taxation	20		18
Total Current Liabilities	124		162
Total Equity & Liabilities	904		1,028

Additional information for the year ended 31 March 2020 were as follows:

1. During the year, Sigma plc sold an item of plant for 25m. This item of plant was purchased several years ago for 50m and at the date of disposal, its accumulated depreciation amounted to 30m.
2. Sigma plc also purchased additional equipment to be used in its usual operations. The amount paid for the purchase was 120m.
3. Except for the above, there were no other non-current acquisitions or disposals. The company policy is to charge a full years depreciation in the year of acquisition and no depreciation on disposed assets in the year of disposal.
4. A dividend of 25m was paid on ordinary shares during the year.
5. The interest income of 12m was equal to the actual cash inflow for the year.

REQUIRED

1. Prepare the statement of cash flows for the year-ended 31 March 2020 for Sigma plc using the indirect method.
2. Analyse and discuss Sigma plcs statement of cash flows (prepared in part (a)) from a potential investor's perspective, highlighting any material items of interest or concern.