Discuss what is meant by that statement and the examples


The balance sheet, income statement, and retained earnings statement do not always show the whole picture of the financial condition of a company or institution. For example, Eastman Kodak financed cash dividends of $649 million in a year in which it earned only $17 million and United Airlines purchased new planes that cost $1.9 billion in a year when they reported a net loss over $2 billion. Discuss what is meant by that statement and the examples given; how does this happen?

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Accounting Basics: Discuss what is meant by that statement and the examples
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