A firm's balance sheets for year-end 2011 and 2012 contain the following data. All items are in millions of dollars.

Dec. 31, 2011Dec. 31, 2012Accounts receivable36.132.2Inventories30.125.2Accounts payable26.112.2

a.Calculate the net working capital in 2011.(answer in millions rounded to 1 decimal place)

Net working capital$million

b.Calculate the net working capital in 2012.(answer in millions rounded to 1 decimal place)

Net working capital$million

c.What happened to investment in net working capital during 2012?(amount as a positive value. answer in millions rounded to 1 decimal place)

Net working capital has

increased?

decreased?

increased

decreased

by $???