Gabi Gram started The Gram Co., a new business that began operations on May 1. The Gram Co. completed the following transactions during its first month of operations, May 1 G. Gram invested $45,000 cash in the company in exchange for its common stock. 1 The company rented a furnished office and paid $2,300 cash for May's rent. 3 The company purchased $1,850 of office equipment on credit. 5 The company paid $730 cash for this month's cleaning services. 8 The company provided consulting services for a client and immediately collected $5,700 cash. 12 The company provided $2,800 of consulting services for a client on credit. 15 The company paid $770 cash for an assistant's salary for the first half of this month. 20 The company received $2,800 cash payment for the services provided on May 12. 22 The company provided $3,300 of consulting services on credit. 25 The company received $3,300 cash payment for the services provided on May 22. 26 The company paid $1,850 cash for the office equipment purchased on May 3. 27 The company purchased $99 of office equipment on credit. 28 The company paid $770 cash for an assistant's salary for the second half of this month. 30 The company paid $300 cash for this month's telephone bill. 30 The company paid $270 cash for this month's utilities. 31 The company paid $2,000 cash in dividends to the owner (sole shareholder). Problem 1-7A Part 1 Required: 1. Enter the amount of each transaction on individual items of the accounting equation. Do not determine new account balances after each transaction. (Enter the transactions in the given order. Enter reductions to account balances with a minus sign. Select "NA" if the transaction does not include an expense.) Assets Liabilities Equity 9 Problem 1-7A Analyzing transactions and preparing financial statements LO P1, P2 [The following information applies to the questions displayed below.) Gabi Gram started The Gram Co., a new business that began operations on May 1. The Gram Co.completed the following transactions during its first month of operations. Part 2 of 2 112 points eBook PA May 16. Grainvested $45,000 cash in the company in exchange for its common stock 1 The company rented a furnished office and paid $2,300 cash for May's rent. 3 The company purchased $1,850 of office equipment on credit. The company paid $730 cash for this month's cleaning services. 8 The company provided consulting services for a client and immediately collected $5,700 cash. 12 The company provided $2,800 of consulting services for a client on credit. 15 The company paid 5770 cash for an assistant's salary for the first half of this month 20 The company received $2,800 cash payment for the services provided on May 12. 22 The company provided 3,300 of consulting services on credit. 25 The company received $3,300 cash payment for the services provided on May 22. 26 The company paid $1,850 cash for the office equipment purchased on May 3. 27 The company purchased $90 of office equipment on credit. 28 The company paid 5770 cash for an assistant's salary for the second ha of this month 30 The company paid $300 cash for this month's telephone bill. 30 The company paid $270 cash for this month's utilities. 31 The company paid $2,000 cash in dividends to the owner (sole shareholder). Heterences Problem 1-7A Part 2 and 3 2-a. Prepare income statement for May. 2-b. Prepare statement of retained earnings for May 2.c. Prepare balance sheet for May 31 3. Prepare statement of cash flows for May
