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Assets $ 18,600 Liabilities 13,950 Stockholders Equity 4,650 Revenue 10,900 Expenses 9,400 Net Income 1,500 Dividends 700 Beginning Retained Earnings 3,900 Ending Retained Earnings 4,700

Assets $ 18,600
Liabilities 13,950
Stockholders Equity 4,650
Revenue 10,900
Expenses 9,400
Net Income 1,500
Dividends 700
Beginning Retained Earnings 3,900
Ending Retained Earnings 4,700
Cash Flows from Operating Activities 2,000
Cash Flows from Investing Activities (1,400 )
Cash Flows from Financing Activities (1,100 )
Beginning Cash 1,400
Ending Cash 900

Using the following table and the equations underlying each of the four basic financial statements, show (a) that the balance sheet is in balance, (b) that net income is properly calculated, (c) what caused changes in the retained earnings account, and (d) what caused changes in the cash account. (Cash outflows should be indicated with a minus sign.)

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