On October 1, Ebony Ernst organized Ernst Consulting; On October 3, the owner contributed $84,780 in assets to launch the business. On October 31, the company's records show the following items and amounts Cash $8,990 cash withdrawals by owner $2,830 Accounts receivable $14,740 consulting revenue $14,740 office supplies $3,930 rent expense $4,300 land $45,980 salaries expense $7,740 office equipment $18,660 telephone expense $850 accounts payable $9,170 miscellaneous expense $670 owner investments $84,780 Also assume the following: a. The owner's initial investment consists of $38,800 cash and $45,980 in land b. The company's $18,660 equipment purchase is paid in cash c. The accounts payable balance of $9,170 consists of the $3,930 office supplies purchase and the $5,240 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 $14,740 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) ERNST CONSULTING Statement of Cash Flows For Month Ended October 31 Cash flows from operating activities Cash received from customers $0 $0 Cash flows from investing activities 0 Cash flows from financing activities 0 Cash balance, October 1 Cash balance, October 31 $0
On October 1, Ebony Ernst organized Ernst Consulting; On October 3, the owner contributed $84,780 in assets to launch the business. On October 31, the company's records show the following items and amounts
Cash $8,990 cash withdrawals by owner $2,830
office supplies $3,930 rent expense $4,300
land $45,980 salaries expense $7,740
office equipment $18,660 telephone expense $850
accounts payable $9,170 miscellaneous expense $670
owner investments $84,780
Also assume the following:
a. The owner's initial investment consists of $38,800 cash and $45,980 in land
b. The company's $18,660 equipment purchase is paid in cash
c. The accounts payable balance of $9,170 consists of the $3,930 office supplies purchase and the $5,240 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 $14,740 consulting fees earned
Using the above information prepare an October 31 statement of cash flows for Ernst Consulting (
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