Following are comparative balance sheets for Millco Inc. at January 31 and February 28, 2020: MILLCO INC. Balance Sheets February 28 and January 31, 2028 February 28 January 31 $ 46, 2ee 70, 4ee 89,100 $ 205,709 $ 40,700 58,300 103,400 $ 202,400 182,600 (26,40e) $361,900 167, 2ee (23,108) $346,500 Assets Cash Accounts receivable Merchandise inventory Total current assets Plant and equipment Production equipment Less: Accumulated depreciation Total assets Liabilities Accounts payable Short term debt Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock, no par value 44,880 shares authorized, 33,000 and 30,800 shares Issued respectively Retained earningst Beginning balance Net Incore for month Dividends Endang balance Total stockholders equity Local 11abiles and stockholders austy $ 40,7ee 48, 4ee 23, lee $112, 200 36,300 $148, 5ee $ 45,109 48, 4ee 26,4ee $ 119,900 5e, 680 $178,5ee $ 114, 4ee $185,600 $ 78,40 30.be (11. $ 39, eee $213408 3361. see $ 42,300 31,900 (8.800) Sedee 5176, eee $546,5 Required: a. Calculate the change that occurred in cash during the month You may assume that the change in each balance sheet amount is due to a single event (for example, the change in the amount of production equipment is not the result of both a purchase and sale of equipment). Because the retained earnings section of the balance sheet is, in and of itself, an analysis of the change in the retained earnings account for the month, the row for net income and dividends should be entered as the February amount and not the change Use the space to the right of the January 31 data to enter the difference between the February 28 and January 31 amounts of each balance sheet item b. Prepare a statement of cash flows that explains above changes? MILLCO INCI Balance Sheets January 31 and February 28, 2020 February 28 January 31 Change Assets $ 46.200 $ 70,400 89,100 $ 205,700 $ 40,700 58,300 103,400 202.400 Cash Accounts receivable Merchandise inventory Total current assets Plant and equipment: Production equipment Less: Accumulated depreciation Total assets 182,600 (28,400) $361,900 S 167,200 (23,100) 346,500 $ S Liabilities Accounts payable Short-term debt Other acorued liabilities Total current liabilities 40.700 48 400 23.100 45, 100 48.400 28.400 110.000 50.800 170.500 $ 112. 200 Long-term debt 30.300 $ 148,500S S 114.400 $ 105,000 Total liabilities Stockholders' Equity Domnion Stock Retained earnings Beginning ba ance Net nome fotonth Dividends 70.400 38 800 (11.000 99.000 213.400 S 47 300 31.900 (8.800 S " 70.400 S 178 300 5 346 500 9 Ending calance Total stock dersity S Toises and stock olders uity Recure 5 NIECO INC Statement of Cash Flows For the Month Ended February 28, 2020 Cash flows from operating activities: Add (deduct) items not affecting cash: Accumulated depreciation Beginning balance Cash Decrease in accounts payable Cash flows from financing activities:
