Lamri co de 2010

It is about the Lamri Co from Dec2010 I find every thing ok with the official answer written by ACCA by I have some problem which I did not understand why it has not take the account of Depreciation while calculating cash flow to the equity as I know cash flow to the dividends capacity of the company, The question says ----------- 1. An investment equivalent to the amount of depreciation to keep its non-current asset base at the present productive capacity. Lamri charges depreciation of 25% on a straight-line basis on its non-current assets of $15 million. This charge has been included when calculating the operating profit amount. 2. A 25% investment in additional non-current assets for every $1 increase in sales revenue. 3. $4•5 million additional investment in non-current assets for a new project. Lamri also requires a 15% investment in working capital for every $1 increase in sales revenue. I want to know that why depreciation such as 25% of non current assets is not added back and why it did not atke the account of depreciation since lamri require 25% investment in addition non current assets for every 1$ increase in revenue That is 25% x (20/120 x 80,000) = $3333.3 $000 Operating profit (30% x $80,000,000) 24,000 Less interest (8% x $35,000,000) (2,800) Less taxation (28% x (24,000 – 2,800)) (5,936) Less investment in working capital (15% x (20/120 x 80,000)) (2,000) Less investment in additional non-current assets (25% x (20/120 x 80,000)) (3,333) Less investment in project (4,500) Cash flows from domestic operations 5,431 Cash flows from overseas subsidiary dividend remittances (W1) 3,159 Additional tax payable on Magnolia profits (6% x 5,400) (324) Dividend capacity 8,266 According to me it should be $000 Operating profit (30% x $80,000,000) 24,000 Less depreciation 25% x (20/120 x 80,000) = (3333.3) Less interest (8% x $35,000,000) (2,800) Less taxation (28% x (24,000- 3333.33– 2,800)= ( 5002.6) Add back depreciation Old assets 25% $15m = 3.75 New assets due to increase in sales 25% x (20/120 x 80,000) = $3333.3 Less investment in working capital (15% x (20/120 x 80,000)) (2,000) Less investment in additional non-current assets (25% x (20/120 x 80,000)) (3,333) Less investment in project (4,500) Cash flows from domestic operations 6367.85 Cash flows from overseas subsidiary dividend remittances (W1) 3,159 Additional tax payable on Magnolia profits (6% x 5,400) (324) Dividend capacity 9202.85 Please tell me where I am wrong