1. Financial statements for the Sennet Corporation follows:

Sennet Corporation Balance Sheet, December 31 (in millions)

Assets	19x1	19x2	Liabilities and Equity	19x1	19x2
Cash	$4	$5	Notes Payable	$5	$5
Accounts Receivable	$7	$10	Accounts Payable	$8	$10
Inventories	$12	$15	Accrued Wages	$2	$3
Current Assets	$23	$30	Accrued Taxes	$3	$2
Net Plant	$40	$40	Current Liabilities	$18	$20
			Long-Term Debt	$20	$20
			Common Stock	$10	$10
			Retained Earnings	$15	$20
Total Assets	$63	$70	Total Liabilities and Equity	$63	$70

Sennet Corporation Income Statement, 19x2 (in millions)

Net Sales		$95
Expenses
Cost of Goods Sold	$50
Selling, General and Administrative	$15
Depreciation	$3
Interest	$2	$70
Net Income Before Taxes		$25
Less: Taxes		$10
Net Income		$15

1. Prepare a source and use of funds statement for Sennet (cash basis).
2. Prepare a source and use of funds statement for Sennet (working capital basis).