Exercise 1-18 Preparing a statement of cash flows LO P2

Also assume the following:

1. The owner's initial investment consists of $38,170 cash and $46,030 in land.
2. The company's $18,170 equipment purchase is paid in cash.
3. The accounts payable balance of $8,630 consists of the $3,450 office supplies purchase and $5,180 in employee salaries yet to be paid.
4. The company's rent, telephone, and miscellaneous expenses are paid in cash.
5. No cash has been collected on the $14,160 consulting fees earned.

Using the above information prepare a October 31 statement of cash flows for Ernst Consulting.(Cash outflows should be indicated by a minus sign.)

Required Information Use the following Information for exercise 15 to 18 LO P2 [The following information applies to the questions displayed below.] On October 1. Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,200 In assets to launch the business. On October 31, the company's records show the following Items and amounts. Cash $10,716 Cash withdrawals by owner $ 2,180 Accounts receivable 14, 160 Consulting revenue 14,160 Office supplies 3,450 Rent expense 3,750 Land 46, 030 Salaries expense 7,160 Office equipment 18, 176 Telephone expense Accounts payable 8, 630 Miscellaneous expenses 609 Owner investments Exercise 1-18 Preparing a statement of cash flows LO P2 Also assume the following: a. The owner's Initial investment consists of $38,170 cash and $46.030 In land. b. The company's $18,170 equipment purchase is paid In cash. C. The accounts payable balance of $8,630 consists of the $3,450 office supplies purchase and $5,180 In employee salaries yet to be paid. d. The company's rent. telephone, and miscellaneous expenses are paid In cash. e. No cash has been collected on the $14,160 consulting fees earned. Using the above Information prepare an October 31 statement of cash flows for Ernst Consulting. (Cash outflows should be indicated by a minus sign.) ERNST CONSULTING Statement of Cash Flows For Month Ended October 31 Cash flows from operating activities Cash received from customers $ Cash flows from investing activities Cash flows from financing activities Cash balance, October Cash balance, October 31