On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $82,890 in assets in exchange for its common stock to launch the business. On October 31, the companys records show the following items and amounts.

Cash $ 15,140 Cash dividends $ 830 Accounts receivable 10,500 Consulting revenue 10,500 Office supplies 2,110 Rent expense 2,380 Land 46,010 Salaries expense 5,620 Office equipment 16,780 Telephone expense 780 Accounts payable 7,360 Miscellaneous expenses 600 Common Stock 82,890

Using the above information prepare: an October income statement for the business, an October statement of retained earnings for Ernst Consulting.

Also assume the following: The owners initial investment consists of $36,880 cash and $46,010 in land in exchange for its common stock.. The companys $16,780 equipment purchase is paid in cash. The accounts payable balance of $7,360 consists of the $2,110 office supplies purchase and $5,250 in employee salaries yet to be paid. The companys rent, telephone, and miscellaneous expenses are paid in cash. No cash has been collected on the $10,500 consulting fees earned. Using the above information prepare an October 31 statement of cash flows for Ernst Consulting.