Financial information for Powell Panther Corporation is shown below: Powell Panther Corporation: Income Statements for Year Ending December 31 (millions of dollars) Sales Operating costs excluding depreciation and amortization EBITDA Depreciation and amortization Earnings before interest and taxes (EBIT) Interest Earnings before taxes (EBT) Taxes (25%) Net income Common dividends 2021 2020 $1,610.0 1,369.0 $1,400.0 1,190.0 $ 241.0 $ 210.0 37.0 29.0 $ 204.0 $ 181.0 35.4 30.8 $ 168.6 $ 150.2 67.4 60.1 $ 101.2 $ 90.1 $ 91.1 72.1 Powell Panther Corporation: Balance Sheets as of December 31 (millions of dollars) 2021 2020 Assets Cash and equivalents $ 23.0 $ 18.0 Accounts receivable 169.0 154.0 Inventories 274.0 238.0 Total current assets $466.0 $410.0 Net plant and equipment 368.0 294.0 Total assets $834.0 $704.0 Liabilities and Equity Accounts payable $175.0 $140.0 Accruals 139.0 126.0 Notes payable 32.2 28.0 Total current liabilities $346.2 $294.0 Long-term bonds 322.0 280.0 Total liabilities $668.2 $574.0 Common stock Retained earnings 128.7 37.1 103.0 27.0 Common equity Total liabilities and equity $165.8 $834.0 $130.0 $704.0 Write out your answers completely. For example, 25 million should be entered as 25,000,000. Round your answers to the nearest dollar, if necessary. Negative values, if any, should be indicated by a minus sign. a. What was net operating working capital for 2020 and 2021? Assume the firm has no excess cash. 2020: $ 2021: $ b. What was the 2021 free cash flow? $ c. How would you explain the large increase in 2021 dividends? I. The large increase in net income from 2020 to 2021 explains the large increase in 2021 dividends. II. The large increase in free cash flow from 2020 to 2021 explains the large increase in 2021 dividends. III. The large increase in EBIT from 2020 to 2021 explains the large increase in 2021 dividends. IV. The large increase in sales from 2020 to 2021 explains the large increase in 2021 dividends. V. The large increase in retained earnings from 2020 to 2021 explains the large increase in 2021 dividends. -Select- v