Given the information in the preceding balance sheet-and assuming that Green Caterpillar Garden Supplies Inc. 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. Green Caterpillar's net collection of inventory items increased by more than the firm sold between Years 1 and 2. This statement is___, because: The accounts receivable balance increased by $101 million between Years 1 and 2 Total inventories of raw materials, work-in-process, and final goods increased from $1, 188 million to $1, 485 million between Year 1 and Year 2 Total inventories of raw materials, work-in-process, and final goods decreased by $297 million between Year 1 and Year 2 Given the information in the preceding balance sheet-and assuming that Green Caterpillar Garden Supplies Inc. 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. Green Caterpillar's net collection of inventory items increased by more than the firm sold between Years 1 and 2. This statement is___, because: The accounts receivable balance increased by $101 million between Years 1 and 2 Total inventories of raw materials, work-in-process, and final goods increased from $1, 188 million to $1, 485 million between Year 1 and Year 2 Total inventories of raw materials, work-in-process, and final goods decreased by $297 million between Year 1 and Year 2 In Year 2, Green Caterpillar Garden Supplies Inc. was profitable. This statement is___, because: Green Caterpillar's total assets increased between Years 1 and 2 Green Caterpillar's retained earnings account increased between the end of Years 1 and 2 The cash and equivalents account increased between Years 1 and 2 The book value of one of Green Caterpillar's fixed assets is calculated as the original cost of the asset minus its annual depreciation expense. This statement is___, because: An asset's net book value is calculated by subtracting its accumulated depreciation expense from its total historic and installation costs An asset's net book value is calculated by subtracting its annual depreciation expense from its total historic and installation costs An asset's net book value is calculated by adding its annual depreciation expense to its total historic and installation costs Based on your understanding of the different items reported on the balance sheet and the information they provide, if everything else remains the same, then the cash and equivalents item on the current balance sheet is likely to if the firm buys a new plant and equipment at a cost of $1 million with liquid capital