Assume Earl Coffee Roasters Corporation ended the month of August 2016 with these data:

Requirement
Prepare the statement of cash flows of Earl Coffee Roasters Corporation for the month ended August 31, 2016. Using Exhibit 1-11 as a model, show with arrows the relationships among the income statement, statement of retained earnings, balance sheet, and statement of cash flows.

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Payments of cash: Acquisition of equipment$202,100 Cash balance, August 1,2016.... 0 3,000 Cash balance, August 31, 2016.. Cash receipts: 5,300 Retained earnings Retained earnings Utilities expense Dividends August 1, 2016 August 31, 2016 Issuance (sale) of stochk to owners. Rent expense Common stock Equipment Office supplies 1,900 24,600 202,100 7,300 8,800 5,900 Adjustments to reconcile net income to net cash provided by operations..0 Accounts payable Salary expense 78,700