Tradewinds Corporation was organized on January 1,2017,with the investment of $500,000 in cash by its stockholders.Tradewinds signed a ten-year,$300,000 promissory note at a local bank during 2017 and received cash in the same amount.The company immediately purchased an office building for $800,000,paying in cash.During its first year,Tradewinds generated $35,000 in cash from operations and paid $30,000 in cash dividends.

A)In good form,prepare a statement of cash flows for the year ended December 31,2017.

B)What does this statement tell you that an income statement does not?

Question

Tradewinds Corporation was organized on January 1,2017,with the investment of $500,000 in cash by its stockholders.Tradewinds signed a ten-year,$300,000 promissory note at a local bank during 2017 and received cash in the same amount.The company immediately purchased an office building for $800,000,paying in cash.During its first year,Tradewinds generated $35,000 in cash from operations and paid $30,000 in cash dividends.
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Quizplus · Accepted Answer

The Answer of Tradewinds Corporation was organized on January 1,2017,with the investment of $500,000 in cash by its stockholders.Tradewinds signed a ten-year,$300,000 promissory note at a local bank during 2017 and received cash in the same amount.The company immediately purchased an office building for $800,000,paying in cash.During its first year,Tradewinds generated $35,000 in cash from operations and paid $30,000 in cash dividends.
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Tradewinds Corporation Was Organized on January 1,2017,with the Investment of $500,000