Powell Panther Corporation: Balance Sheets as of December $31$

$($Millions of Dollars$)$

$2011$

$2010$

Assets

Cash and equivalents

Accounts receivable

Inventories

Total current assets

Net plant and equipment

Total assets

Liabilities and Equity

Accounts payable

Notes payable

Accruals

Total current liabilities

Long$-$term bonds

Total debt

Common stock $(50$ million shares$)$

Retained earnings

Common equity

Total liabilities and equity

Powell Panther Corporation: Income Statements for Year Ending December $31$

$($Millions of Dollars$)$

$2011$

$2010$

Prepare the statement of cash flows and explain the change of "cash and equivalents" reported on the balance sheet below.