Prepare a multistep income statement. E REDD COMPANY Income Statement For the Year Ended December 31, Year 2 Net sales Operating expenses Cost of goods sold Net income REDD COMPANY Statement of Cash Flows For the Year Ended December 31, Year 2 Cash flows from operating activities Inflow from customers Outflow for expenses Outflow for inventory o Net cash flow from operating activities Cash flows from investing activities Cash flows from financing activities Net change in cash Plus: Beginning cash balance Ending cash balance 8,500 8,500 Prepare a multistep income statement. E REDD COMPANY Income Statement For the Year Ended December 31, Year 2 Net sales Operating expenses Cost of goods sold Net income REDD COMPANY Statement of Cash Flows For the Year Ended December 31, Year 2 Cash flows from operating activities Inflow from customers Outflow for expenses Outflow for inventory o Net cash flow from operating activities Cash flows from investing activities Cash flows from financing activities Net change in cash Plus: Beginning cash balance Ending cash balance 8,500 8,500