It is Cold Goose Metal Works Inc. Income Statement Years Ending December 31 Net sales Fixed operating costs, except depreciation and amortization Depreciation and amortization expenses Net operating income (or EBIT) Interest Earnings before taxes (or EBT) Taxes (40%) Net Income Preferred dividends Earnings available to common stockholders (EAC) Common dividends Addition to retained earnings Year 2 (Forecasted) 18,750,000 (13,125,000) (600,000) 5,025,000 (753,750) 4,271,250 (1,708,500) 2,562,750 (100,000) 2,462,750 (896,963) $1,565,787 Year 1 $15,000,000 (10,500,000) (600,000) contribution to retained earnings, $1,268,900 and $1,555,787, respectively. This is because statement involve payments and receipts of cash. $3,900,000 (390,000) $3,510,000 (1,404,000) $2,106,000 (100,000) $2,006,000 (737,100) $1,268,900 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 of the items reported in the income It is cont state Fixed operating costs, except' depreciation and amortization Depreciation and amortization expenses Net operating income (or EBIT) Interest Earnings before taxes (or EBT) Taxes (40%) Net Income Preferred dividends Earnings available to common stockholders (EAC) Common dividends Addition to retained earnings incorrect correct rear 2 (Forecasted) 18,750,000 (13,125,000) (600,000) 5,025,000 (753,750) 4,271,250 (1,708,500) 2,562,750 (100,000) 2,462,750 (896,963) $1,565,787 Year 1 $15,000,000 (10,500,000) (600,000) $3,900,000 (390,000) $3,510,000 (1,404,000) $2,106,000 (100,000) $2,006,000 (737,100) $1,268,900 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 etained earnings, $1,268,900 and $1,565,787, respectively. This is because of the items reported in the income e payments and receipts of cash. (or EBIT) Interest Earnings before taxes (or EBT) Taxes (40%) Net Income Preferred dividends Earnings available to common stockholders (EAC) Common dividends Addition to retained earnings TOTAL SCORE:46 5,025,000 (753,750) 4,271,250 (1,708,500) 2,562,750 (100,000) 2,462,750 (896,963) $1,565,787 It is contribution to retained earnings, $1,268,900 and $1,565,787, respectively. This is because statement involve payments and receipts of cash. (600,000) $3,900,000 (390,000) $3,510,000 (1,404,000) $2,106,000 (100,000) $2,006,000 (737,100) $1,268,900 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 ann of the items reported in the all but one all