Refer to the example of Tradewinds Company illustrated by the timeline in Exhibit 3-2 and the facts

Question:

Refer to the example of Tradewinds Company illustrated by the timeline in Exhibit 3-2 and the facts given at the beginning of Section B, "Accrual versus Cash Accounting." In addition, assume that the remaining ships are sold for $3.5 million each just before the end of Year 4, in preparation for the dissolution of the company.
Required:
a. Complete the for Years 3 and 4 using the tables below.
b. In the following tables, complete the column for "4-year Total." Compare the 4-year totals for cash flow and income. Comment on the similarities and differences.

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Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...