problem $1-7$B Analyzing transactions and preparing financial statements P$1$ P$2$

a Niko launched a new business, Niko's Maintenance, Co$.,$ that began operations on June $1.$ The following transactio$$s

e completed by the company during that first month.

$1$ Nina Niko invested $$130,000$ cash in the company in exchange for its common stock.

$2$ The company rented a furnished office and paid $$6,000$ cash for June's rent.

$4$ The company purchased $$2,400$ of equipment on credit.

$6$ The company paid $$1,150$ cash for this month's advertising of the opening of the business

$8.$ The company completed maintenance services for a customer and immediately collected cash.

$14$ The company completed $$7,500$ of maintenance services for City Center on credit.

The company paid $$800$ cash for an assistant's salary for the first half of the month.

$20$ The company received $$7,500$ cash payment for services completed for City Center on Ju

The company completed $$7,900$ of maintenance services for Paula's Beauty Shop on cred

$24.$ The company completed $$675$ of maintenance services for Build$-$It Coop on credit.

$25$ The company received $$7,900$ cash payment from Paula's Beauty Shop for the work comp on June $21.$

$26$ The company made payment of $$2,400$ cash for equipment purchased on June $4.$

The company paid $$800$ cash for an assistant's salary for the second half of this month.

$29$ The company paid $$4,000$ cash in dividends to the owner $($sole shareholder$).$

The company paid $$150$ cash for this month's telephone bill.

$30$ The company paid $$890$ cash for this month's utilities.

Create the following table similar to Exhibit $1\mathrm{.}9.$ Enter the effects of each transaction on the

accounts of the accounting equation by recording dollar increases and decreases in the appropriate

columns. Determine the final total for each account and verify that the equation is in balance.

Check $(1)$ Ending balancesi Cash, $$130,060$; Expenses, $$9,790$

Prepare the income statement and the statement of retained earnings for the month of June, and

the balance sheet as of June $30.$

$(2)$ Net incane, $$7,135$; Total assets, $$133,135$

Prepare the statement of cash flows for the month of June. Using the accounting equation from $7$B $-$ prepare the $3$ basic financial statements

Income Statement

Statement of Retained Earnings

Balance Sheet