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It is correct to say that Cute Camel s net inflows and outflows of cash at the end of Years 1 and 2 are equal

It is correct to say that Cute Camels net inflows and outflows of cash at the end of Years 1 and 2 are equal to the companys annual contribution to retained earnings, $2,257,000 and $2,789,875, respectively. This is because all of the items reported in the income statement involve payments and receipts of cash.

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