Required information [The following information applies to the questions displayed below.) On October 1, Ebony Ernst organized Ernst Consulting: on October 3, the owner contributed $84,920 in assets in exchange for its common stock to launch the business. On October 31, the company's records show the following items and amounts Cash Accounts receivable office supplies Land office equipment Accounts payable Common Stock $ 8,450 17,000 4,080 46,020 18, 860 9,280 84,920 Cash dividends Consulting revenue Rent expense Salaries expense Telephone expense Miscellaneous expenses $ 2,930 17,000 4,420 7,900 860 680 Also assume the following: a. The owner's initial investment consists of $38,900 cash and $46,020 in land in exchange for its common stock.. b. The company's $18,860 equipment purchase is paid in cash. c. The accounts payable balance of $9,280 consists of the $4,080 office supplies purchase and $5,200 in employee salaries yet to be paid d. The company's rent, telephone, and miscellaneous expenses are paid in cash. e. No cash has been collected on the $17,000 consulting fees earned. Using the above information prepare an October 31 statement of cash flows for Ernst Consulting. (Cash outflows should be indicated by a minus sign.) Answer is complete but not entirely correct. Required information py a minus sign.) Answer is complete but not entirely correct. ERNST CONSULTING Statement of Cash Flows For Month Ended October 31 Cash flows from operating activities Cash received from customers Cash paid to employees 2,700 Cash paid for rent 4,420 Cash paid for telephone expenses 860 Cash paid for miscellaneous expenses 680 Accounts receivable x Net cash used by operating activities Cash flows from investing activities Cash paid for office equipment 18,860 $ 8,660 18,860 Net cash provided by investing activities Cash flows from financing activities Cash investments from shareholders Accounts payable 38,900 2.930 Net cash provided by financing activities Net increase in cash Cash balance, October 1 Cash balance. October 31 41,830 8.450 8.450