Main Street Homes had the following cash transactions for the month ended July 31, 2014. Cash receipts:

Question:

Main Street Homes had the following cash transactions for the month ended July 31, 2014.

Cash receipts:

Collections from customers ......... $ 20,000

Issued common stock ............. 8,000

Cash payments:

Rent ....................................... 3,000

Utilities ..................................... 1,500

Salaries ..................................... 2,100

Purchase of equipment ..............................10,750

Payment of cash dividends ............................. 5,250

Cash balance, July 1, 2014 ..............................12,500

Cash balance, July 31, 2014 ............................17,900

Prepare the statement of cash flows for Main Street Homes for the month ended July 31, 2014.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...