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 ($ in millions) 2021 2020 Assets Cash Accounts receivable Prepaid insurance Inventory $ 24 $ 110 178 132 7 3 285 175 Buildings and equipment Less: Accumulated depreciation 400 350 (119) (240) $ 775 $ 530 Liabilities. Accounts payable $ 87 $ 100 Accrued liabilities 6 11 Notes payable 50 0 Bonds payable 160 0 Shareholders' Equity Common stock 400 400 Retained earnings 72 19 $775 $ 530 RED, INC. Statement of Income For Year Ended December 31, 2021 ($ in millions) Revenues Sales revenue Expenses Cost of goods sold Depreciation expense Operating expenses Net income $2,000 $1,400 50 4471 1,897 $ 103