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(Block, 2005).
The income statements can give a company the necessary view of adequate measurements for loss or gain within a certain period. An income statement will provide the calculation of gross profit by looking at the total sales and deducting the actual cost of those products. It also takes a look at operating profits and costs, shares, interest expenses, administrative and selling expenses, depreciation expense, taxes and anything that will affect the total profit of the firm. (Block, 2005). The cash flow determines investment activities such as bonds, stock and corporate securities. When the company sells corporate securities determines a "source" of income while the retirement or repurchasing determines the use of those funds...
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