Given the information in the preceding balance sheet$-$and assuming that Blue Hamster Manufacturing Inc. has $50$ million shares of common stock

outstanding$-$read each of the following statements, then identify the selection that best interprets the information conveyed by the balance sheet.

Statement #$1$: Blue Hamster$$s net collection of inventory items increased by more than the firm's sales between Years $1$ and $2.$

This statement is BLANK $,$ because:

Total inventories of raw materials, work$-$in$-$process, and final goods increased from $$6,930$ million to $$8,662$ million between Year $1$ and Year $2$

Total inventories of raw materials, work$-$in$-$process, and final goods decreased by $$1,732$ million between Year $1$ and Year $2$

The accruals balance decreased by $$410$ million between Years $1$ and $2$

Statement #$2$: Over the past two years, Blue Hamster Manufacturing Inc. has relied more on the use of short$-$term debt than on long$-$term debt financing.

This statement is BLANK $,$ because:

Blue Hamster$$s total current liabilities increased by $$547$ million, while its use of long$-$term debt increased by $$1,640$ million

Blue Hamster$$s total current liabilities decreased by $$547$ million, while its long$-$term debt account decreased by $$1,640$ million

Blue Hamster$$s total notes payable increased by $$137$ million, while its common stock account increased by $$4,265$ million

Statement #$3$: The book value of one of Blue Hamster$$s fixed assets is calculated as the original cost of the asset minus its annual depreciation expense.

This statement is BLANK $,$ because:

$-$An asset$$s net book value is calculated by adding its annual depreciation expense to its total historic and installation costs

$-$ An asset$$s net book value is calculated by subtracting its annual depreciation expense from its total historic and installation costs

$-$An asset$$s net book value is calculated by subtracting its accumulated depreciation expense from its total historic and installation costs

Based on your understanding of the different items reported on the balance sheet and the information they provide, if everything else remains the same, then the cash and equivalents item on the current balance sheet is likely to BLANK if the firm increases the dividends paid on its common stock.