Question
As of January 1, 2018, Room Designs, Inc. had a balance of $4,400 in Cash, $2,450 in Common Stock, and $1,950 in Retained Earnings. These
As of January 1, 2018, Room Designs, Inc. had a balance of $4,400 in Cash, $2,450 in Common Stock, and $1,950 in Retained Earnings. These were the only accounts with balances in the ledger on January 1, 2018. Further analysis of the companys cash account indicated that during the 2018 accounting period, the company had (1) net cash inflow from operating activities of $5,050, (2) net cash outflow for investing activities of $14,100, and (3) net cash inflow from financing activities of $7,350. All revenue and expense events were cash events. The following accounts and balances represent the general ledger of Room Designs, Inc. as of December 31, 2018, before closing.
c-4. Prepare a statement of cash flows for the year ended December 31, 2018.
ROOM DESIGNS, INC General Ledger Stockholders' Equit Assets Cash Liabilities Notes Payable Common Stock Bal. Revenue Bal. 2,700 Bal. 2,900 7,750 Bal. 9,800 Retained Earnings Land Expenses Bal. Bal. 14,100 Bal. 1,950 4,750 Dividends Bal. 850
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