THE ONLY QUESTION I HAVE IS " It is (correct or incorrect) 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, $1,109,037 and $1,565,787, repectively. This is because (all or all but one) of the items reported in the income statement involve payments and receipts of cash.

JUST NEED THE parenthesis Question answered (Correct or incorrect) and (all or all but one) based on the info I provided.

1. Income statement The income statement, also known as a profit and loss (PAL) statement, provides a snapshot of a company's financial performance during a specified period of time. It reports a firm's gross income, expenses, net income, and the income that is available for distribution to its preferred and common shareholders. The income statement is prepared using the generally accepted accounting principles (GAAP) that match the firm's revenues and expenses to the period in which they are incurred, not necessarily when cash is received or paid. Investors and analysts use the information presented in the income statement, and the other financial statements and reports, to evaluate the company's financial performance and condition Consider the following scenario: Cute Camel Woodcraft Company's income statement reports data for its first year of operation. The firm's CEO would like sales to increase by 25% next year 1. Cute Camel is able to achieve this level of increased sales, but its interest costs increase from 10% to 15% of carings before interest and taxes (EBIT). 2. The company's operating costs (excluding depreciation and amortization) remain at 70.00% of net sales, and its depreciation and amortization expenses remain constant from year to year 3. The company's tax rate remains constant at 40% of its pre-tax income or earnings before taxes (EBT). 4. In Year 2 Cute Camel expects to pay $100.000 and $896.963 of preferred and common stock dividends, respectively. Cute Camel Woodcraft Company Income Statement for Year Ending December 31 Net sales Less: Operating costs, except depreciation and amortization Less: Depreciation and amortization expenses Operating income (or EBIT) Less: Interest expense Pre-tax income (or EBT) Less: Taxes (40%) Earnings after taxes Less: Preferred stock dividends Earnings available to common shareholders Less: Common stock dividends Contribution to retained earnings 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 Year 2 (Forecasted) $18,750,000 13.125,000 600,000 $5,025,000 753.750 54,271,250 1,708,500 $2,582.750 100,000 $2,402.750 890,083 $1.565,787 $2,006,000 737.100 $1,109,037