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I don't know what I am missing, could someone please point me in the right direction? Required information [The following information applies to the questions
I don't know what I am missing, could someone please point me in the right direction?
Required information [The following information applies to the questions displayed below) On October 1. Ebony Ernst organized Ernst Consulting: on October 3, the owner contributed $84,580 in assets in exchange for its common stock to launch the business. On October 31, the company's records show the following items and amounts. $ 2,650 16,800 4,190 Cash Accounts receivable office supplies Land office equipment Accounts payable Common Stock $ 9,300 Cash dividends 16,000 Consulting revenue 3,830 Rent expense 45,980 Salaries expense 18,550 Telephone expense 9,060 Miscellaneous expenses 84,580 7.57 8:30 650 Also assume the following: a. The owner's initial investment consists of $38,600 cash and $45.980 in land in exchange for its common stock b. The company's $18.550 equipment purchase is paid in cash. c. The accounts payable balance of $9,060 consists of the $3,830 office supplies purchase and $5.230 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 $16,000 consulting fees earned 96 5 7 8 Also assume the following: a. The owner's initial investment consists of $38,600 cash and $45,980 in land in exchange for its common stock.. b. The company's $18,550 equipment purchase is paid in cash. c. The accounts payable balance of $9,060 consists of the $3,830 office supplies purchase and $5,230 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 $16,000 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 5 Cashflows from operating activities cash paid to employees Cash paid for rent Cash pard for telephone expenses Cash paid for miscellaneous expenses Cash received from customers (2.340) (4190) (830) (650) 0 tash used by operating activities Cashows from westing acts $ (8.01.09 hp & 5 6 8 W d 8 h k Required information 4 $ Cash flows from operating activities Cash paid to employees Cash paid for rent Cash paid for telephone expenses Cash paid for miscellaneous expenses Cash received from customers (2,340) (4.190) (830) (650) 0 $ (8,010) Net cash used by operating activities Cash flows from investing activities Cash paid for office equipment (18,550) aces (18,550) Net cash used by investing activities Cash flows from financing activities Cash investments from shareholders Cash dividends to shareholders 38,600 (2,650) 35,950 Net cash provided by financing activities Net increase in cash Cash balance, October 1 Cash balance. October 31 9,390 0 9.390 $ Step by Step Solution
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