MILLCO INC. Balance Sheets February 28 and January 31, 2020 February 28 January 31 Assets Cash Accounts receivable Merchandise inventory Total current assets Plant and equipment: Production equipment Less: Accumulated depreciation $ 42,000 64,000 81,000 $187,000 $ 37,000 53,000 94,000 $184,000 166,000 (24,000) $329,000 152,000 (21,000) $315,000 Total assets $ 37,000 44,000 21,000 $102,000 33,000 $135,000 $ 41,000 44,000 24,000 $109,000 46,000 $ 155,000 Liabilities Accounts payable Short-term debt Other accrued liabilities Total current liabilities Long-term debt Total liabilities Stockholders' Equity Common stock, no par value, 40,000 shares authorized, 30,000 and 28,000 shares issued, respectively Retained earnings: Beginning balance Net income for month Dividends Ending balance Total stockholders' equity Total liabilities and stockholders' equity $104,000 $ 96,000 $ 64,000 36,000 (10,000) $ 90,000 $ 194,000 $329,000 $ 43,000 29,000 (8,000) $ 64,000 $160,000 $315,000 Cash $ $ 42,000 64,000 81,000 187,000 37,000 53,000 94,000 184,000 $ $ Accounts receivable Merchandise inventory Total current assets Plant and equipment: Production equipment Less: Accumulated depreciation 166,000 (24,000) 329,000 152,000 (21,000) 315,000 Total assets $ $ $ $ 37,000 44,000 21,000 102,000 33,000 135,000 41,000 44,000 24,000 109,000 46,000 155,000 $ $ $ $ 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 $ 104,000 $ 96,000/ $ $ 64,000 36,000 (10,000) 90,000 194,000 43,000 29,000 (8,000) 64,000 160,000 315,000 $ $ $ $ $ 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: Het income Add (deduct) items not affecting cash: Depreciation expense Decrease in merchandise inventory ncrease in accounts receivable Decrease in other accrued liabilities Decrease in accounts payable Cash flows from investing activities: Purchases of production equipment Cash flows from financing activities