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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

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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 6. Gran invested $40,000 cash in the company in exchange for its common stock. 1 The company rented a furnished office and paid $2,200 cash for May's rent. 3 The company purchased $1,890 of office equipment on credit. 5 The company paid $750 cash for this month's cleaning services. 8 The company provided consulting services for a client and immediately collected $5,400 cash. 12 The company provided $2,500 of consulting services for a client on credit. 15 The company paid $750 cash for an assistant's salary for the first half of this month. 20 The company received $2,500 cash payment for the services provided on May 12. 22 The company provided $3,200 of consulting services on credit. 25 The company received $3,200 cash payment for the services provided on May 22. 26 The company paid 51,890 cash for the office equipment purchased on May 3. 27 The company purchased $80 of office equipment on credit. 28 The company paid $750 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 $250 cash for this month's utilities. 31 The company paid $1,400 cash in dividends to the owner (sole shareholder). 2-0. 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 12 THE GRAM CO. Income Statement For Month Ended May 31 Revenues ok Expenses nt ences Total expenses 0 Required 28 > THE GRAM CO. Balance Sheet May 31 Assets Liabilities Equity Total assets Total equity 0 Total liabilities and equity 0 $ 0 Required 2B Required 3 > Required information Required 2A Required 2B Required 2c Required 3 Prepare statement of cash flows for May. (Cash outflows should be indicated with a minus sign.) THE GRAM CO. Statement of Cash Flows For Month Ended May 31 Cash flows from operating activities Cash flows from investing activities 1 1 Required information $ 0 2 Cash flows from investing activities 0 ok Cash flows from financing activities nt ences 0 $ 0 Cash balance, May 1 Cash balance. May 31 0 $ 0

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