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 $43,000 cash in the company in exchange for its common stock. 1 The company rented a furnished office and paid $2,500 cash for Mays rent. 3 The company purchased $1,880 of office equipment on credit. 5 The company paid $800 cash for this months cleaning services. 8 The company provided consulting services for a client and immediately collected $5,500 cash. 12 The company provided $2,700 of consulting services for a client on credit. 15 The company paid $740 cash for an assistants salary for the first half of this month. 20 The company received $2,700 cash payment for the services provided on May 12. 22 The company provided $4,000 of consulting services on credit. 25 The company received $4,000 cash payment for the services provided on May 22. 26 The company paid $1,880 cash for the office equipment purchased on May 3. 27 The company purchased $90 of advertising in this months (May) local paper on credit; cash payment is due June 1. 28 The company paid $740 cash for an assistants salary for the second half of this month. 30 The company paid $300 cash for this months telephone bill. 30 The company paid $260 cash for this months utilities. 31 The company paid $1,900 cash in dividends to the owner (sole shareholder). 2.1. Prepare income statement for May. 2.2. Prepare statement of retained earnings for May. 2.3. Prepare Balance Sheet for May 31. 3. Prepare statement of cash flows for May. (Cash outflows should be indicated with a minus sign.)

2.1. Prepare income statement for May.

2.2. Prepare statement of retained earnings for May.

2.3. Prepare Balance Sheet for May 31.

3. Prepare statement of cash flows for May. (Cash outflows should be indicated with a minus sign.)

2.2. Prepare statement of retained earnings for May.

2.3. Prepare Balance Sheet for May 31.

3. Prepare statement of cash flows for May. (Cash outflows should be indicated with a minus sign.)

THE GRAM CO. Income Statement For Month Ended May 31 Revenues Consulting services revenue Expenses Total expenses THE GRAM CO. Statement of Retained Earnings For Month Ended May 31 Retained earnings, May 1 $ 0 24 Retained earnings, May 31 $ 0 THE GRAM CO. Balance Sheet May 31 Assets Liabilities Equity Total equity 0 Total liabilities and equity Total assets $ THE GRAM CO. Statement of Cash Flows For Month Ended May 31 Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Cash balance, May 1 Cash balance, May 31