Use the information in Exercise 1-13 to prepare an October 31 statement of cash flows for Real Answers.

Also assume the following:

a. The owner’s initial investment consists of $38,000 cash and $46,000 in land in exchange for common stock.

b. The $18,000 equipment purchase is paid in cash.

c. The accounts payable balance of $8,500 consists of the $3,250 office supplies purchase and $5,250 in employee salaries yet to be paid.

d. The rent, telephone, and miscellaneous expenses are paid in cash.

e. No cash has been collected for the $14,000 consulting services provided.