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CASE 5-1 AURORA INC. The owner of Aurora Inc., Cindy Hickey, has come to you, a public accountant, for advice. I am very worried about

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CASE 5-1 AURORA INC. The owner of Aurora Inc., Cindy Hickey, has come to you, a public accountant, for advice. "I am very worried about my business right now. My bank loan is at its maximum level, we have no cash, and my salary is backing up, unpaid, I don't know what has gone wrong, and what I can do about it. Please provide some advice!" 28,700 (2.200) 3,600 1,200 Rent expense Loss on sale of machinery Gain on sale of investments Interest revenue Interest expense Income tax expense Marketing expenses 14,300 *Can you explain what is happening with our cash flows? What should I do to get out of this hole?" Required: Respond to Cindy's request. 2,200 2,750

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