Consider the following potentiall events that might have occurred to Global on December 30, 2016. For each one, indicate which line items in Globals balance sheet would be affocted and by how much. Also indicate the change to Global's book value of equity a. Global used $20.0 million of its available cash to repay $20.0 million of its long-term debt b. A warehouse fire destroyed $5.0 million worth of uninsured inventory c. Global used $5.0 million in cash and $5.0 million in new long-term debt to purchase a $10.0 million building d. A large customer owing $3.0 milion for products it already received declared bankuptcy, leaving no possibility that Global would ever receive payment e. Global's engineers discover a new manutactunng process that will cut the cost of its tagship product by more than 50% f. A kay compatitor announces a radical new pricing policy that will drastically undercut Globals prices a. Global used $20.0 million of its available cash to repay $20.0 million of its long-term debt. (Select the best choice below) A. O B. Long-term liabilities would increase by S20.0 milion, and cash would increase by the same amount. The book value of equty would be unchanged. Long-term liabilities would decrease by S20 0 million, and cash would increase by the same amount The book value cf equity would be unchanged Lon term liabilities would decrease by S20 0 million, and cash would decrease by the same amount The book value of equity would change by $20 0 Long-term liabilities would decrease by S20 0 million and cash would decrease by the same amount The book value of equity would be unchanged O C D. b. A warehouse fire destroyed S50 milion worth of uninsured inventory. (Select the best choice below.) O A. Inventory would increase by S5.0 million and the book value of equity would decrease by the same amount B. Inventory would decrease by S5 0 million, as would the book value of equity 0 Clnventory would decrease by S5 0 million, and the book value of equity would be unchanged D. Inventory would increase by $5.0 million, as would the book value of equity. c. Global used S5.0 million in cash and $5.0 milion in new long-term debt to purchase a S10.0 million building. (Select the best choice below) O A. Long-term assets would increase by $100 million, cash would increase by $5.0 million, and long-term liabilities would increase by $5.0 million. There would be no change to the book value of equity. B. Long-term assets would decrease by $10 0 million cash would decrease by S5 0 million, and long-term liabilities would increase by $5 0 m llion There O C. Long-term assets would decrease by $10.0 million, cash would increase by $5.0 million, and long-term liabilities would decrease by $5.0 million. There O D. Long-term assets would increase by $10.0 million, cash would decrease by S5.0 million, and long-term liabilities would increase by S5.0 milion. There d. A large customer owing $3.0 million for products it already received declared bankruptcy, leaving no possibility that Global would ever receive payment. (Select would be no change to the book value of equity would be no change to the book value of equity would be no change to the book value of equity the best choice below.) O A. Accounts receivable would increase by S3.0 million, as would the book value of equity. O B. Accounts receivable would increase by $3.0 million, and the book value of equity would decrease by the same amount C. Accounts receivable would decrease by 53 0 milion, as would the book value of equity O D. Accounts receivable would decrease by $3.0 milion, and the book value of equity would increase by the same amount e. Global's engineers discover a new manufacturing process that will cut the cost of its flagship product by more than 50%. Select the best choice below. A. This event would decrease inventory by over 50%. B. This event would decrease inventory by over 50% and the book value of equity would increase by the same amount C. This event would not affect the balance sheet D. This event would decrease inventory by over 50% and the book value of equity would decrease by the same amount f. A key competitor announces a radical new pricing polacy that will drastically undercut Global's prices. (Select the best choice below) O A. This event would affect the balance sheet in an unpredictable manner O B. This event would decrease the book value of equity O C. This event would decrease inventory O D. This event would not affect the balance sheet