Analysis of Transactions, Preparation of Statements . Wm. Wrigley Jr. Company manufactures and sells chewing gum. The company's actual condensed balance sheet data for January 1, 2003 follows ($ in millions):

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Cash $ 279 Receivables 313 Accounts payable Dividends payable Inventories 321 Other liabilities Property, plant, Owner's equity and equipment 836 Other assets 359 Total $2,108 Total $ 98 46 441 1,523 $2,108 The following summarizes some major transactions during January 2003 ($ in millions): 1. Gum carried in inventory at a cost of $45 was sold for cash of $35 and on open account of $40, for a grand total of $75. 2. Collection of receivables, $42. 3. Depreciation expense of $3 was recognized. 4. Selling and administrative expenses of $24 were paid in cash. 5. Prepaid expenses of $5 expired in January. These included fire insurance premiums paid in the previous year that applied to future months. The expiration increases selling and administrative expense and reduces other assets. 6. The January 1 liability for dividends was paid in cash on January 25. Required 1. Prepare an analysis of Wrigley's transactions, employing the equation approach demonstrated in Exhibit 2-3 (p. 56). Show all amounts in millions. (For simplicity, only a few major transactions are illustrated here.) 2. Prepare a statement of earnings. Also prepare a balance sheet, January 31. Ignore income taxes.