Following are comparative balance sheets for Millco Inc, at January 31 and February 28, 2020: MILLCO INC. Balance Sheets February 28 and January 31, 2020 February 28 January 31 $ 21,000 32,000 40,500 $ 93,500 $ 18,500 26,500 47,000 $ 92,000 83,000 (12,000) $164,500 76,000 (10,500) $157,500 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, 20,000 shares authorized, 15,000 and 14,000 shares issued, respectively Retained earnings: Beginning balance Net income for month Dividends Ending balance $ 18,500 22,000 10,500 $ 51,000 16,500 $ 67,500 $ 20,500 22,000 12,000 $ 54,500 23,000 $ 77,500 $ 52,200 $ 48,000 $ 32,000 18,000 (5,000) $ 45,000 $ 21,500 14,500 (4,000) $ 32,000 $ 21,000 32,000 $ 18,500 26,500 47,000 $ 92,000 $ 93,500 83,000 (12,000) $164,500 76,000 (10,500) $157,500 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, 20,000 shares authorized, 15,000 and 14,000 shares issued, respectively Retained earnings: Beginning balance Net income for month Dividends Ending balance Total stockholders' equity Total liabilities and stockholders' equity $ 18,500 22,000 10,500 $ 51,000 16,500 $ 67,500 $ 20,500 22,000 12,000 $ 54,500 23,000 $ 77,500 $ 52,000 $ 48,000 $ 32,000 18,000 (5,000) $ 45,000 $ 97,000 $164,500 $ 21,500 14,500 (4,000) $ 32,000 $80,000 $157,500 Book Required: a. Calculate the change that occurred in cash during the month. You may assume that the change in each bal due to a single event (for example, the change in the amount of production equipment is not the result of E of equipment). Because the retained earnings section of the balance sheet is, in and of itself, an analysis of retained earnings account for the month, the row for net income and dividends should be entered as the F the change. Use the space to the right of the January 31 data to enter the difference between the February amounts of each balance sheet item. b. Prepare a statement of cash flows that explains above changes? References Complete this question by entering your answers in the tabs below. Required A Required B Calculate the change that occurred in cash during the month. You may assume that the change in each balance sh is due to a single event (for example, the change in the amount of production equipment is not the result of both and sale of equipment). Because the retained earnings section of the balance sheet is, in and of itself, an analysis change in the retained earnings account for the month, the row for net income and dividends should be entered as February amount and not the change. Use the space to the right of the January 31 data to enter the difference bet February 28 and January 31 amounts of each balance sheet item. Check my Total stockholders' equity Total liabilities and stockholders' equity $ 97,000 $164,500 $80,000 $157,500 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? Complete this question by entering your answers in the tabs below. Required A Required B 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. Show less MILLCO INC Balance Sheets January 31 and February 28, 2020 February 28 January 31 Change Assets Change MILLCO INC. Balance Sheets January 31 and February 28, 2020 February 28 January 31 Assets Cash 21,000 $ 18,500 Accounts receivable 32,000 26,500 Merchandise inventory 40,500 47,000 Total current assets 93,500 $ 92,000 Plant and equipment: Production equipment 83,000 76,000 Less: Accumulated depreciation (12,000) (10,500) Total assets $ 164,500 $ 157,500 $ $ Liabilities Accounts payable Short-term debt Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock Retained earnings: Beginning balance Net income for month Dividends 18,500 22,000 10,500 51,000 16,500 67,500 20,500 22,000 12,000 54,500 23,000 77,500 $ $ $ $ 52,000 52 $ 48,000 $ $ 32,000 18,000 (5,000) 21,500 14,500 (4,000) $ 21,000 32,000 40,500 93,500 18,500 26,500 47,000 92,000 $ $ Assets Cash Accounts receivable Merchandise inventory Total current assets Plant and equipment: Production equipment Less: Accumulated depreciation Total assets 83,000 (12,000) 164,500 76,000 (10,500) 157,500 $ $ $ $ 18,500 22,000 10,500 51,000 16,500 67,500 20,500 22,000 12,000 54,500 23,000 77,500 $ $ $ $ Liabilities Accounts payable Short-term debt Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock Retained earnings: Beginning balance Net income for month Dividends Ending balance Total stockholders' equity Total liabilities and stockholders' equity $ 52,000 $ 48,000 $ $ 32,000 18,000 (5,000) 45,000 97,000 21,500 14,500 (4,000) 32,000 80,000 157,500 $ $ $ $ $ Required A Required B > Required A Required B Prepare a statement of cash flows that explains above changes? (Amounts to be deducted should be indicated by a minus sign.) MILLCO INC. Statement of Cash Flows For the Month Ended February 28, 2020 Cash flows from operating activities: Add (deduct) items not affecting cash: Cash flows from investing activities: Cash flows from financing activities