Required information [The following information applies to the questions displayed below) Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below. RED, INC. Comparative Balance Sheets December 31, 2021 and 2020 (5 in millions) 2021 2020 Assets Cash $28.0 124.0 Accounts receivable 158.0 120.0 Prepaid insurance 10.0 5.0 Inventory 266.0 162.0 Buildings and equipment 379.0 335.0 Less: Accumulated depreciation (93.0) (235.0) $743.0 $ 511.0 Liabilities Accounts payable $ 84.0 $95.0 Accrued liabilities 5. Notes payable 50.0 0.0 Bonds payable 155.0 0. Shareholders' Equity Common stock 400.0 400.0 Retained earnings 51.3 11.0 $743.0 $511.0 3.0 >/43.0 > 5.0 RED, INC. Statement of Income For Year Ended December 31, 2021 (5 in millions) Revenues Sales revenue $1,020.0 Expenses Cost of goods sold $1,274.0 Depreciation expense 34.0 Operating expenses 422.0 1,730.0 Net income $ 0.0 Additional information from the accounting records: a. During 2021. $2240 million of equipment was purchased to replace $180.0 million of equipment (95.0% depreciated) sold at book value b. In order to maintain the usual policy of paying cash dividends of $50.0 million, it was necessary for Red to borrow $50.0 million from its bank Required: Prepare the T-account for Red, Inc. (Enter your answers in millions rounded to 1 decimal place fi.e., 5,500,000 should be entered as 5.5).) Beg Bal Operating Activities: Cash (Statement of Cash Flows) 280 1240 Investing Activities: Financing Activities: End Bal 96 Accounts Receivable Prepaid insurance Beg Ba Beg Bad [End Bal End Bal Inventory Buildings and Equipment Beg Bal Beg Bal End Bal End Bal Accumulated Depreciation Accounts Payable Bega Beg Bal End End Bar Accrued Liabilities Notes Payable Beg B Bonds Payable Sales Beg Bal Beg Bal End Bal End Cost of Goods Sold Depreciation Expense Beg Bal Beg Bad End B End Da Operating Expenses Nerf income income Summary Beg tega Net Income End Bal End Dal Retamed Earnings Common Stock Bal Beg B