Analyze business transactions using the accounting equation. The following transactions apply to Xavier Bostic's Auto Detail Service during November 2008. (LO 3, 4)

1. Xavier started the business by depositing \(\$ 3,350\) in a business checking account on November 1 in exchange for common stock.

2. The company purchased a vacuum cleaner for \(\$ 1,145\) cash.

3. The company borrowed \(\$ 1,575\) from the bank for the business by signing a note.

4. The company provided services to clients and received \(\$ 5,705\) in cash.

5. The company paid \(\$ 535\) of operating expenses.

6. The company made a distribution of \(\$ 200\) to the owner.

\section*{Required}

a. Enter the transactions into the accounting equation.

b. What are the total assets of the company at the end of November 2008?

c. Prepare a statement of cash flows for November 2008.

d. What was net income for November 2008?

e. Who might find the information on Xavier Bostic's Auto Detail Service financial statements useful?