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It is to say that Cold Goose’s net inflows and outflows of cash at the end of Years 1 and 2 are equal to the company’s annual contribution to retained earnings, $869,437 and $1,133,180, respectively. This is because of the items reported in the income statement involve payments and receipts of cash.
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It is to say that Cold Goose’s net inflows and outflows of cash at the end of Years 1 and 2 are equ...
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