Statement # 1: Green Caterpillar's net collection of inventory items increased by more than the firm sold between Years 1 and 2. This statement is incorrect ,because: O The accruals balance decreased by $234 million between Years 1 and 2 O The accounts receivable balance increased by $338 million between Years 1 and2 Total inventories of raw materials, work-in-process, and final goods increased from $.3,960 millian to $4,950 million between Year 1 and Year 2 Statement # 1: Green Caterpillar's net collection of inventory items increased by more than the firm sold between Years 1 and 2. This statement is incorrect ,because: O The accruals balance decreased by $234 million between Years 1 and 2 O The accounts receivable balance increased by $338 million between Years 1 and2 Total inventories of raw materials, work-in-process, and final goods increased from $.3,960 millian to $4,950 million between Year 1 and Year 2