Problem 1-33A Interrelationships among financial statements LO 1-2, 1-3, 1-5, 1-6, 1-7

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[The following information applies to the questions displayed below.] Pratt Corp. started the Year 2 accounting period with total assets of $31,000 cash, $12,500 of liabilities, and $6,000 of retained earnings. During the Year 2 accounting period, the Retained Earnings account increased by $8,550. The bookkeeper reported that Pratt paid cash expenses of $26,500 and paid a $2,100 cash dividend to stockholders, but she could not find a record of the amount of cash revenue that Pratt received for performing services. Pratt also paid $4,000 cash to reduce the liability owed to a bank, and the business acquired $6,900 of additional cash from the issue of common stock. Assume all transactions are cash transactions.