$1.$ Cash Flows Analysis: Summarize the calculated net cash flows for both investment opportunities $2.$ Cash Flows Analysis: Calculate the Net Cash Flows for both investment opportunities, considering the initial investment and the projected cash flows over the five$-$year period. Energy Wells Inc.

Income Statement

Period Ended $12/31/2022$

Net Sales $$1,181,001$

Cost of Goods Sold $767,650$

Gross Profit $413,351$

Operating Expenses $301,746$

Net Operating Profit $111,605$

Interest Expense $40,177$

Earnings Before Tax $71,428$

Tax $(\mathrm{.}21)15,000$

Net Income $ $56,428$

Energy Wells Inc

Balance Sheet

As of $12/31/2022$

Cash $$131,250$ Accounts Payable $$381,250$

Accounts Receivable $458,750$ Accruals $50,000$ Inventory $262,500$ Notes Payable $206,250$

Current Assets $$852,500$ Current Liabilities $$637,500$

Gross Fixed Assets $$650,000$ Bonds $$150,000$

Accumulated Depreciation $100,000$ Debentures $100,000$

Net Fixed Assets $550,000$ Long$-$Term Debt $$250,000$

Total Debt $$887,500$

Preferred Stock $ $50,000$

Common Stock $200,000$

Retained Earnings $ $265,000$

Total Equity $ $515,000$

Total Assets $$1,402,500$ Total Debt and Equity $$1,402,500$

Footnotes: $1.$ Where appropriate use a $360$ day year

$2.$ Common shares outstanding: $25,000$

$3.$ Preferred shares outstanding: $5,000$

$4.$ Preferred Dividends: $$5,000$

$5.$ Common Dividends: $$9,000$

$6.$ Common Stock Market Price Per Share: $$33\mathrm{.}00$

$7.$ Earnings Per Share: $$2\mathrm{.}06$ Per Share