On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $83,110 in assets in exchange for its common stock to launch the business. On October 31, the companys records show the following items and amounts. Retained earnings, October 1 as $0.

L. INCLICU Cuyo, LUCIUPU. Cash Accounts receivable Office supplies Land Office equipment Accounts payable Common stock $14,550 12,940 2,400 45,860 17,020 7,820 83, 110 Cash dividends Consulting revenue Rent expense Salaries expense Telephone expense Miscellaneous expenses $ 1,120 12,940 2,640 5,920 800 620 Using the above information prepare an October statement of retained earnings for Ernst Consulting. ERNST CONSULTING Statement of Retained Earnings For Month Ended October 31 Retained earnings, October 1 Add: Net income 2,960 2,960 1,120 1,840 Less: Dividends Retained earnings, October 31 $ Part 2 of 4 Accounts receivable Office Supplies Land Office equipment Accounts payable Common stock 12,940 Consulting revenue 2,400 Rent expense 45,860 Salaries expense 17,020 Telephone expense 7,820 Miscellaneous expenses 83, 110 0.15 points eBook Using the above information prepare an October statement of retained earnings Hint References ERNST CONSULTING Statement of Retained Earnings For Month Ended October 31 Retained earnings, October 1 Add: Net income 0 + 2,960 2,960 1,120 1,840 Add: Dividends Add: Net income Add: Net loss Me Graw