Exercise 2.14 (Algo) Statement of Cash Flows (LO2-6) An Inexperienced accountant for Prestwick Company prepared the...

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Exercise 2.14 (Algo) Statement of Cash Flows (LO2-6) An Inexperienced accountant for Prestwick Company prepared the following income statement for the month of August, current year. Revenues: Services provided to customers Investment by stockholders Loan from bank Expenses: PRESTWICK COMPANY AUGUST 31, CURRENT YEAR $ 11,000 4,100 13,000 $ 28,100 Expenses required to provide services to customers $ 15,000 9,100 18,000 42,100 $ 14,000 Payments to long-term creditors Purchase of land i Net loss Based on the Information prepare a statement of cash flows in a form consistent with generally accepted accounting principles. You may assume all transactions were in cash and that the beginning cash balance was $18,800. (List any deduction in cash and cash outflows as negative amounts.) PRESTWICK COMPANY Statement of Cash Flows For the Month Ended August 31, Current Year Cash flows from operating activities: Cash flows from investing activities: Cash flows from financing activities: Cash balance, August 1, Current Year Cash balance, August 31, Current Year S $ 0 0 Exercise 2.14 (Algo) Statement of Cash Flows (LO2-6) An Inexperienced accountant for Prestwick Company prepared the following income statement for the month of August, current year. Revenues: Services provided to customers Investment by stockholders Loan from bank Expenses: PRESTWICK COMPANY AUGUST 31, CURRENT YEAR $ 11,000 4,100 13,000 $ 28,100 Expenses required to provide services to customers $ 15,000 9,100 18,000 42,100 $ 14,000 Payments to long-term creditors Purchase of land i Net loss Based on the Information prepare a statement of cash flows in a form consistent with generally accepted accounting principles. You may assume all transactions were in cash and that the beginning cash balance was $18,800. (List any deduction in cash and cash outflows as negative amounts.) PRESTWICK COMPANY Statement of Cash Flows For the Month Ended August 31, Current Year Cash flows from operating activities: Cash flows from investing activities: Cash flows from financing activities: Cash balance, August 1, Current Year Cash balance, August 31, Current Year S $ 0 0