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Time Remaining $3$ hours $11$ minutes $55$ seconds

$03$:$11$:$55$

Required information

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Use the following information for the Exercises below. $($Algo$)$

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$[$The following information applies to the questions displayed below.$]$

On December $1,$ Jasmin Ernst organized Ernst Consulting. On December $3,$ the owner contributed $$84,470$ in assets to launch the business. On December $31,$ the company$$s records show the following items and amounts.

Cash$ $9,750$Cash withdrawals by owner$ $2,530$Accounts receivable$15,620$Consulting revenue$15,620$Office supplies$3,710$Rent expense$4,070$Land$45,970$Salaries expense$7,450$Office equipment$18,450$Telephone expense$810$Accounts payable$8,900$Miscellaneous expenses$630$Owner investments$84,470$

Exercise $1-21($Algo$)$ Preparing a statement of cash flows LO P$2$

Also assume the following:

The owner$$s initial investment consists of $$38,500$ cash and $$45,970$ in land.

The company$$s $$18,450$ equipment purchase is paid in cash.

Cash paid to employees is $$2,260.$ The accounts payable balance of $$8,900$ consists of the $$3,710$ office supplies purchase and $$5,190$ in employee salaries yet to be paid.

The company$$s rent expense, telephone expense, and miscellaneous expenses are paid in cash.

No cash has yet been collected on the $$15,620$ consulting revenue earned.

Using the above information prepare a December statement of cash flows for Ernst Consulting.

Note: Cash outflows should be entered as negative values.