Barry Kimm established Mariner Financial Services on January 1, 2008. Mariner Financial Services offers financial planning advice to its clients. The effect of each transaction and the balances after each transaction for January are shown at the bottom of the page.

{Instructions}

1. Prepare an income statement for the month ended January 31, 2008.

2. Prepare a retained earnings statement for the month ended January 31, 2008.

3. Prepare a balance sheet as of January 31, 2008.

4. (Optional). Prepare a statement of cash flows for the month ending January 31, 2008.

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Assets = Liabilities + Stockholders' Equity Accounts Accounts Cash +Receivable Supplies Payable = Capital + Stock Fees Dividends + Earned Salaries Rent Auto Expense Expense Expense Supplies Misc. Expense - Expense a -25,000 +25,000 b. +1,180 +1,180 Bal. 25,000 1,180 1,180 25,000 C. 580 580 Bal. 24,420 1,180 600 25,000 d. +42,000 +42,000 Bal. 66,420 1,180 600 25,000 42,000 e. 7,500 -7,500 Bal.. 58,920 1,180 600 25,000 42,000 -7,500 f. - 5.780 -4,500 -1,280 Bal. 53,140 1,180 600 25,000 42,000 -7,500 -4,500 -1,280. g 15,000 - 15,000 Bal. 38,140 1,180 600 25,000 42,000 -15,000 -7,500 4,500 -1,280 h. 455 455 Bal. 38,140 725 600 25,000 1. +10,400 42,000 +10,400 15,000 -7,500 -4,500 455 -1,280 Bal 38,140 10,400 725 600 25,000 52,400 -15,000 -7,500 4,500 -455 -1,280 j 9,000 -9,000 Bal. 29,140 10,400 725 = 600 25,000 -9,000 52,400 15,000 -7,500 4,500 455 -1,280