Table 3.1 in Chapter 3 presents financial statements over the period 2011-2014 for R&E Supplies, Inc.

a. Construct a sources and uses statement for the company over the period (one statement for all 3 years)

b. What insights, if any, does the sources and uses statement give you about the financial position of R&E Supplies?

Note: I need to see the differences for 2012-2011 in one column, 2013-2012 in another column and 2014-2013 in the last column. Once you have the differences you will add them up for each line item to have a grand total to use for the statement. Your work for the statement should have the three columns with the differences per each two years and a final column to create the source and use statement with the grand total. Thus, your first account would be a reduction in cash and securities. Please show the totals to balance the statement.

mber 31,20 TABLE 31 Financial Statements for R&E Supplies, Inc., December 31, 20 TABLE 3.1 Income Statements 2014 2013 2012 $13,764 11,699 2011 $20,613 17,727 Net sales Cost of goods sold Gross profit Expenses $11,190 9,400 1,790 $16,104 13,688 2,416 2,267 1,610 1,019 100 671 302 S 369 General, selling, and administrative expenses Net interest expense 696 313 S 383 529 238 S 291 Earnings before tax Tax Earnings after tax S 398 Balance Sheets Assets Current assets S 551 1,789 1,376 12 3,728 S 412 2,886 2,267 18 Cash and securities Accounts receivable Inventories Prepaid expenses S 671 1,343 1,119 S 644 2,094 1,932 4,685 295 S 4,980 5,583 287 S 5,870 Total current assets 3,147 Net fixed assets Total assets S 3,275 S 3,852 Liabilities and Owners' Equity Current liabilities: Bank loan Accounts payable Current portion long-term debt Accrued wages S 50 1,007 60 S 50 1,443 50 S 50 2,426 50 3,212 100 Total current liabilities 1,122 Long-term debt Common stock Retained earnings Total liabilities and owners' equity 1,550 910 1,242 S 3,852 2,536 860 150 1,434 S 4,980 3,380 760 150 1,580 5,870 1,043 3,275