2021 2020 Assets Cash Accounts receivable Prepaid insurance Inventory Buildings and equipment Less: Accumulated depreciation $36.0 162.0 14.0 272.0 368.0 (72.0) $780.0 $ 135.0 122.0 7.0 164.0 320.0 (224.0) $ 524.0 Liabilities Accounts payable Accrued liabilities Notes payable Bonds payable Shareholders' Equity Common stock Retained earnings $ 82.0 8.9 50.0 175.0 $ 96.0 15.0 0.9 0.0 400.0 65.0 $780.0 400.0 13.0 $ 524.0 RED, INC. Statement of Income For Year Ended December 31, 2021 ($ in millions) Revenues Sales revenue $1,880.0 Expenses Cost of goods sold $1,316.0 Depreciation expense 38.0 Operating expenses 424.0 1,778.0 Net income $ 102.0 Additional information from the accounting records: a. During 2021, $248.0 million of equipment was purchased to replace $200.0 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 $50.0 million from its bank. Required: Prepare the T-account for Red, Inc. (Enter your answers in millions rounded to 1 decimal place (1.e., 5,500,000 should be entered as 5.5).) Answer is not complete. Cash (Statement of Cash Flows) Beg. Bal. Operating Activities: From customers For expenses Investing Activities: Issuance of bonds Issuance of notes Financing Activities: End. Bal. Answer is not complete ACER PW Be C En Invent Budad ROM de Dalai n. En Ad Dencion Payable R. Ental Auto No Pay e En la Gon Payable De CA Coat of Ganda Data Carpet Bee Coa End Onuing En Het Income com le De la Net C En Ruta Cars rt-k En la RED, INC. Statement of Cash Flows For year ended December 31, 2021 ($ in millions) Cash flows from operating activities: Cash inflows: From customers Cash outflows: For operating expenses To suppliers of goods $ 0.0 Net cash flows from operating activities Cash flows from investing activities: Purchase of equipment Sale of equipment 0.0 Net cash flows from investing activities Cash flows from financing activities: Sale of equipment Issuance of bonds payable Payment of dividends Issuance of note payable Net cash flows from financing activities Net increase (decrease) in cash Cash balance, January 1 Cash balance, December 31 0.0 0.0 $ 0.0