The following information is available from Gray Co's accounting records for the year ended December 31, 2016 (amounts in millions):

Cash dividends declared and paid.................................... $ 525

Retirement of bonds payable at maturity............................. 300

Interest and taxes paid.................................................. 220

Proceeds of common stock issued.................................... 825

Proceeds from the sale of land......................................... 250

Collections from customers............................................. 4,720

Cash pad to suppliers and employees................................. ?

Purchase of buildings and equipment................................. ?

Required:

a. The net cash provided by operating activities for Gray Co. for the year ended December 31, 2016. is $1200 million. Calculate the cash paid to suppliers and employees.

b. The increase in cash for the year was $400 million. Calculate the amount of cash used to purchase buildings and equipment. Your answer to part a should be considered in your calculation. (Set up a model of the statement of cash flows to determine the net cash provided used) by operating and investing activities, and then solve for the missing amounts.)