Question: . Suppose Cyclone Industrial Inc. makes widgets at a cost of $600 today. The widgets are sold on credit for $1,000 in year one

. Suppose Cyclone Industrial Inc. makes widgets at a cost of $600

. Suppose Cyclone Industrial Inc. makes widgets at a cost of $600 today. The widgets are sold on credit for $1,000 in year one (i.e. next year). . The receivable is paid in year two. What are the cash flows each year for making widgets each year? Year 0 2 Cash Flow? ? ? O A. -600, 1000, 0 OB. -600, 0, 1000 O C. 0, -600, 1000 Question 4 Following #3, what are the accounting profits for making widgets each year? Year 0 1 2 Profits ? O A. -600, 1000,0 O B. -600, 0, 1000 O C. -600, 400,0 O D. 0, 400,0 ?

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