ERNST CONSULTING Income Statement For Month Ended October 31 Revenues Consulting revenue $ 12,000 Total revenues 12,000 Expenses Rent expense Salaries expense Telephone expense Miscellaneous expenses 10.340 Total expenses Net income 1.880 Graded Practice Required information ERNST CONSULTING Statement of Cash Flows For Month Ended October 31 Cash flows from operating activities Cash received from customers Cash paid to employees (1,280) Cash paid for rent (2.770) Cash paid for telephone expenses (820) Cash paid for miscellaneous expenses (630) (5,500) Net cash used by operating activities Cash flows from investing activities Cash paid for office equipment 17,200 17,200 Cash flows from financing activities Cash investments from shareholders Cash dividends to shareholders ces 37.380 (1.280) 38.100 Net cash provided by financing activities Net increase in cash Cash balance. October 1 Cash balance October 31 13.840 13,840 ERNST CONSULTING Income Statement For Month Ended October 31 Revenues Consulting revenue $ 12,000 Total revenues 12,000 Expenses Rent expense Salaries expense Telephone expense Miscellaneous expenses 10.340 Total expenses Net income 1.880 Graded Practice Required information ERNST CONSULTING Statement of Cash Flows For Month Ended October 31 Cash flows from operating activities Cash received from customers Cash paid to employees (1,280) Cash paid for rent (2.770) Cash paid for telephone expenses (820) Cash paid for miscellaneous expenses (630) (5,500) Net cash used by operating activities Cash flows from investing activities Cash paid for office equipment 17,200 17,200 Cash flows from financing activities Cash investments from shareholders Cash dividends to shareholders ces 37.380 (1.280) 38.100 Net cash provided by financing activities Net increase in cash Cash balance. October 1 Cash balance October 31 13.840 13,840