The following are the summary account balances from the statement of financial position of Granger Inc. as at October 31, 2017. The accounts are followed by a list of transactions for the month of November 2017. The following accounts have normal debit or credit balances. The amounts shown are in millions of dollars:

Cash	$	96	Accounts payable	$	306
Accounts receivable		200	Income tax payable		7
Inventories		533	Long-term debt		212
Prepaid expenses		21	Deferred income taxes (credit)		28
Property, plant, and equipment, net		1,022	Retained earnings		1,223
Other non-current assets		12	Contributed capital		108

The following transactions occurred in November 2017:
a.	Purchased new equipment costing $41 by issuing long-term debt.
b.	Received $94 on accounts receivable.
c.	Received and paid the telephone bills for $2.
d.	Earned $103 in sales to customers on account; the cost of sales was $62.
e.	Paid employees $14 for salaries earned in November.
f.	Paid half of the income taxes payable.
g.	Purchased inventory for $27 on account.
h.	Prepaid rent for December for a warehouse for $12.
i.	Paid $10 of long-term debt and $1 in interest on the debt.
j.	Purchased a patent (an intangible asset) for $9 cash.

Required:

1.

Prepare a spreadsheet to show the effects of the November 2017 transactions on the appropriate accounts. Prepare a table to show both the cash and non-cash components of revenues and expenses for November 2017. Prepare the operating activities section of the statement of cash flows for Granger Inc. for November 2017 using the indirect method. Compute the quality of earnings ratio for November 2017.

Effect on Cash Flows Property other NonAccounts TaxBorrowing Taxes Deferred Contributed Retainod Revenues Expem Income Long-torm Cash Accounts Capital Earnings Revenues Expenses Description of Activities Activitios Activitio8 Payable alance, November 1,2017 $ 96|S 2001 S 533 $ 211,022S 123S 7S212210 1 223 a. Purchase of equipment b. Colection from customera c Payment of telephone bill 3ales to customers on account Cost of merchandise sol e. Salares expense . Payment of income taxes 0. Purchase of invemory h. Prepaid rent for December 2. Payment of interest . Purchase of patent Belance, November 30. 2017 98 S 200 S 533 S 21 5 1,022 S 12 30 S 212 S 28 5 10 1223S Prepare a table to show both the cash and non-cash components of revenues and experses for November 2017.(Negative answers should be indicated by a minus sign.) Difference (Non-cash Cash Revenue o | CasniAccrual eamings from operations