Which of the following assertions about cash flow statements is/are correct?

(1)   A cash flow statement prepared using the direct method produces a different figure for operating cash flow
        from that produced if the indirect method is used.
(2)   Rights issues of shares do not feature in cash flow statements.
(3)    A surplus on revaluation of a non-current asset will not appear as an item in a cash flow statement.
(4)    A profit on the sale of a non-current asset will appear as an item under Cash Flows from Investing Activities
         in a cash flow statement.

A      1 and 4
B      2 and 3
C      3 only
D      2 and 4.

C