Cute Camel Woodcraft Company is a hypothetical company. Suppose it has the following balance sheet items reported at the end of its first year of operation. For the second year, some parts are still incomplete. Use the information given to complete the balance sheet. Cute Camel Woodcraft Company Balance Sheet for Year Ending December 31 (Millions of Dollars) Year 2 Year 1 Year 2 Year 1 iabilities and equity Current liabilities Assets Current assets Cash and equivalents Accounts receivable Inventories $3,690 Accounts payable $0 234 1,328 $0 1,688 4,950 1,350 Accruals 3,960 Notes payable 1,250 $1,250 3,750 $5,000 Total current assets $11,250 SO $9,000 Total current liabilities Net fixed assets Long-term debt 4,688 $6,250 Net plant and equipment $11,000 Total debt Common equity: Common stock 12,188 9,750 5,250 $15,000 $20,000 Retained earnings Total common equity $18,750 $25,000 Total assets $25,000 $20,000 abilities and equity Given the information in the preceding balance sheet-and assuming that Cute Camel Woodcraft Company has 50 million shares of common stock outstanding-read each of the following statements, then identify the selection that best interprets the information conveyed by the balance sheet. Statement # 1: Cute Camel's net collection of inventory items increased by more than the firm sold between Years 1 and 2. This statement is because O The accounts receivable balance increased by $338 million between Years 1 and 2 O Total inventories of raw materials, work-in-process, and final goods decreased by $990 million between Year 1 and Year 2 O Total inventories of raw materials, work-in-process, and final goods increased from $3,960 million to $4,950 million between Year 1 and Year 2 Statement #2: On December 31 of Year 2, Cute Camel Woodcraft Company had $4,612 million of actual money that it could have spent immediately This statement is because: O The funds recorded in Cute Camel's accounts receivable account represents funds that are either cash or can be converted into cash almost immediately O Cute Camel's Year 2 cash and equivalents balance is $11,610 O The funds recorded in Cute Camel's cash and equivalents account represents funds that are either cash or can be converted into cash almost immediately Statement #3 : The book value per share of Cute Camel's stock in Year 2 was $375.00 This statement is because: O The per-share book value is calculated by dividing the company's total assets by the number of O The per-share book value is calculated by dividing the company's total debt by the number of O The per-share book value is calculated by dividing the company's total common equity by the number of outstanding shares of common stock outstanding shares of common stock outstanding shares of common stock Cute Camel Woodcraft Company is a hypothetical company. Suppose it has the following balance sheet items reported at the end of its first year of operation. For the second year, some parts are still incomplete. Use the information given to complete the balance sheet. Cute Camel Woodcraft Company Balance Sheet for Year Ending December 31 (Millions of Dollars) Year 2 Year 1 Year 2 Year 1 iabilities and equity Current liabilities Assets Current assets Cash and equivalents Accounts receivable Inventories $3,690 Accounts payable $0 234 1,328 $0 1,688 4,950 1,350 Accruals 3,960 Notes payable 1,250 $1,250 3,750 $5,000 Total current assets $11,250 SO $9,000 Total current liabilities Net fixed assets Long-term debt 4,688 $6,250 Net plant and equipment $11,000 Total debt Common equity: Common stock 12,188 9,750 5,250 $15,000 $20,000 Retained earnings Total common equity $18,750 $25,000 Total assets $25,000 $20,000 abilities and equity Given the information in the preceding balance sheet-and assuming that Cute Camel Woodcraft Company has 50 million shares of common stock outstanding-read each of the following statements, then identify the selection that best interprets the information conveyed by the balance sheet. Statement # 1: Cute Camel's net collection of inventory items increased by more than the firm sold between Years 1 and 2. This statement is because O The accounts receivable balance increased by $338 million between Years 1 and 2 O Total inventories of raw materials, work-in-process, and final goods decreased by $990 million between Year 1 and Year 2 O Total inventories of raw materials, work-in-process, and final goods increased from $3,960 million to $4,950 million between Year 1 and Year 2 Statement #2: On December 31 of Year 2, Cute Camel Woodcraft Company had $4,612 million of actual money that it could have spent immediately This statement is because: O The funds recorded in Cute Camel's accounts receivable account represents funds that are either cash or can be converted into cash almost immediately O Cute Camel's Year 2 cash and equivalents balance is $11,610 O The funds recorded in Cute Camel's cash and equivalents account represents funds that are either cash or can be converted into cash almost immediately Statement #3 : The book value per share of Cute Camel's stock in Year 2 was $375.00 This statement is because: O The per-share book value is calculated by dividing the company's total assets by the number of O The per-share book value is calculated by dividing the company's total debt by the number of O The per-share book value is calculated by dividing the company's total common equity by the number of outstanding shares of common stock outstanding shares of common stock outstanding shares of common stock