Unideno Corporation Was Organized on January 1, 2017, with the Investment

question 178

Essay

Unideno Corporation was organized on January 1, 2017, with the investment of $225,000 in cash by its stockholders. The company immediately purchased an office building for $300,000, paying $201,000 in cash and signing a three-year promissory note for the balance. Unideno signed a five-year, $50,000 promissory note at a local bank during 2017 and received cash in the same amount. During its first year, Unideno collected $93,000 from its customers. It paid $60,600 for inventory, $22,400 in salaries and wages, and another $5,100 in taxes. Unideno paid $5,300 in cash dividends.

Required
1. Prepare a statement of cash flows for the year ended December 31, 2017.
2. What does this statement tell you that an income statement does not?

---

Definitions:

Sodium Ion

A positively charged ion (Na+) essential for various physiological functions, including nerve impulse transmission and fluid balance in the body.

Calcium Ions

Positively charged calcium atoms (Ca2+) that play vital roles in various biological processes, including muscle contraction, neurotransmission, and blood clotting.

Unequal Ion Concentration

Refers to a difference in the concentration of ions across a membrane, leading to potential differences and driving forces for ion movement.

Sodium-chloride Pump

A mechanism, particularly in the kidney cells, that helps in the reabsorption or excretion of sodium and chloride ions.