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South Sea Baubles has the following (incomplete) balance sheet and income statement. BALANCE SHEET AT END OF YEAR (Figures in $ millions) Assets 2021 2022

South Sea Baubles has the following (incomplete) balance sheet and income statement.

BALANCE SHEET AT END OF YEAR
(Figures in $ millions)
Assets 2021 2022 Liabilities and Shareholders' Equity 2021 2022
Current assets $ 100 $ 190 Current liabilities $ 70 $ 90
Net fixed assets 900 1,000 Long-term debt 650 850

INCOME STATEMENT, 2022
(Figures in $ millions)
Revenue $ 2,000
Cost of goods sold 1,080
Depreciation 400
Interest expense 250

a&b. What is shareholders equity in 2021 and 2022? c&d. What is net working capital in 2021 and 2022? e. What are taxes paid in 2022? Assume the firm pays taxes equal to 21% of taxable income. f. What is cash provided by operations during 2022? g. Net fixed assets increased from $900 million to $1,000 million during 2022. What must have been South Seas gross investment in fixed assets during 2022? h. If South Sea reduced its outstanding accounts payable by $45 million during the year, what must have happened to its other current liabilities?

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