What depreciation will be shown in the income statement for year 3? How would the non-current asset be shown in the statement of financial position at the end of year 3? If the asset is sold for £120,000 in year 4, how will this affect: the income statement for year 4? the statement of financial position at the end of year 4? How will the sale of the tangible non-current asset affect the firm’s statement of cash flows? Be sure to demonstrate your numerical workings.