0 Required information [The following information applies to the questions displayed below) Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc. are provided below. RED, INC. Comparative Balance sheets December 31, 2021 and 2020 (s in millions) 2021 2020 Assets Cash % 18.0 5.136.0 Accounts receivable 162.0 117.0 Prepaid insurance 12.5 6.5 Inventory 289.0 169.0 Buildings and equipment 420.0 360.0 Less: Accumulated depreciation (148.0 (252.0) $ 753.5 $ 536.5 Liabilities Accounts payable $ 92.0 $111.0 Accrued liabilities 7.5 Notes payable 50.0 0.0 Bonds payable 100.0 0.0 Shareholders' Equity 400. 400. Common stock 107.0 18.0 Retained earnings $ 753.5 $ 536.5 RED, INC. Statement of Income A Vaa Ender 3031 RED, INC. Statement of Income For Year Ended December 31, 2021 (5 in millions) Revenues Sales revenue $2,200.0 Expenses Cost of goods sold $1,584.0 Depreciation expense 48.0 Operating expenses 429.0 2,061.0 Net income $ 139.0 Additional information from the accounting records a. During 2021. $220.0 million of equipment was purchased to replace $160.0 million of equipment (95.0% depreciated) sold at book value. b. In order to maintain the usual policy of paying cash dividends of $50.0 million, it was necessary for Red to borrow $50,0 million from its bank. Required: Prepare the statement of cash flows (direct method) for Red, Inc. Use the Taccount method to assist in your analysis (Amounts to be deducted should be indicated with a minus sign. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered os 5.5).) Statement of Cash Flows For year ended December 31, 2021 (S in millions) Cash flows from operating activities Cash inflows Cash outflows 0.0 Net cash flows from operating activities Cash flows from investing activities 00 Net cash flows from investing activities Cash flows from financing activities 00 00 Net cash flows from financing activities Net increase (decrease) in cash Cash balance, January 1 Coch halano Doramhor 1