Assume the Giada Coffee Roasters Corp. ended the month of August 2019 with these data:

Requirement
1. Prepare the income statement and the statement of retained earnings for Giada Coffee Roasters Corp., for the month ended August 31, 2019.

Transcribed Image Text:

Payments of cash: Acquisition of equipment . $201,500 Dividends. Retained earnings August 1, 2019.. Retained earnings August 31, 2019. Utilities expense Adjustments to reconcile net income to net cash provided by operations.. Salary expense. Cash balance, August 1, 2019.. Cash balance, August 31, 2019.. Cash receipts: Issuance (sale) of stock $ 5,300 2,800 14,900 1,800 14,900 201,500 7,400 8,800 278,700 to owners... Rent expense. Common stock Equipment. Office supplies. Accounts payable . Service revenue.. 5,100 1,400 78,500