The CEO and CFO from Lawrence Hotels​, ​Inc., are reviewing company performance for 2018. The income statement reports a​ 25% increase in net income over 2017. ​However, most of the increase resulted from a gain on insurance proceeds from fire damage to a building. The balance sheet shows a large increase in receivables. The cash flows​ statement, in summarized​ form, reports the​ following:

The CEO and CFO from Lawrence Hotels​, ​Inc., are reviewing company performance for 2018. The income statement reports a​ 25% increase in net income over 2017. ​However, most of the increase resulted from a gain on insurance proceeds from fire damage to a building. The balance sheet shows a large increase in receivables. The cash flows​ statement, in summarized​ form, reports the​ following:


Write a memo giving Lawrence's top executives your assessment of 2018 operations and your outlook for the future. Focus on the information content of the cash flows data.
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