Statement \#1: Cute Camel's net collection of inventory items increased by more than the firm's sales between Years 1 and 2. This statement is , because: The accruals balance decreased by $176 million between Years 1 and 2 Total inventories of raw materials, work-in-process, and final goods decreased by $742 million between Year 1 and Year 2 Total inventories of raw materials, work-in-process, and final goods increased from $2,970 million to $3,712 million betwe Year 2 Statement #2 : In Year 2, Cute Camel Woodcraft Company was profitable. This statement is because: Cute Camel's total assets increased between Years 1 and 2 Cute Camel's retained eamings account increased between the end of Years 1 and 2 The cash and equivalents account increased between Years 1 and 2 Cute Camel Woodcraft Company Balance Sheet for Year Ending December 31 (Millions of Dollars) Statement \#3: One way to interpret the change in Cute Camel's accounts receivable balance from Year 1 to Year 2 is that more customers purchased new items on credit rather than paying off existing credit accounts. This statement is , because: The change from $2,970 million to $3,712 million reflects a net accumulation of new credit sales The $253 increase in accounts receivable means either that Year 1's existing credit customers are not paying off their owed balances and new or existing customers are making additional purchases on credit, or that Year 1 's credit customers have repaid their owed balances and Year 2 credit sales have exceeded Year 1 's credit sales The decrease from $1,266 million to $1,013 million implies a net decrease in accounts receivable and that more customers are paying off their recelvables balances than are buying on credit Based on your understanding of the different items reported on the balance sheet and the information they provide, which statement regarding Cute Camel Woodcraft Company's balance sheet is consistent with U.S. Generally Accepted Accounting Principles (GAAP)? The company's debts should be listed in order of their liquidity. The company's debts should be listed from those carrying the largest balance to those with the smallest balance. The company's debts are listed in the order in which they are to be repaid