The financial statements at the end of Cayenne Realty's first month of operations are shown below.
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Cayenne Realty
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Income Statement
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For the Month Ended June 30, 2008
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Fees earned
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$ (a)
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Expenses:
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Wages expense
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$34,000
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Rent expense
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12,800
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Supplies expense
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(b)
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Utilities expense
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7,200
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Miscellaneous expense
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4,400
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Total expenses
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70,400
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Net income
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$49,600
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Cayenne Realty
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Statement of Owner's Equity
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For the Month Ended June 30, 2008
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Andrea Merkel, capital, June 1, 2008
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$ (c)
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Investment on June 1, 2008
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$160,000
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Net income for June
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(d)
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(e)
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Less withdrawals
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24,000
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Increase in owner's equity
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(f)
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Andrea Merkel, capital, June 30, 2008
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(g)
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Cayenne Realty
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Balance Sheet
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30-Jun-08
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Assets
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Liabilities
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Cash
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$17,800
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Accounts payable
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$6,400
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Supplies
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14,200
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Owner's Equity
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Land
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160,000
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Andrea Merkel, capital
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(i)
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Total liabilities and
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Total assets
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(h)
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owner's equity
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(j)
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Cayenne Realty
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Statement of Cash Flows
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For the Month Ended June 30, 2008
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Cash flows from operating activities:
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Cash received from customers
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$ (k)
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Deduct cash payments for expenses and
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payments to creditors
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78,200
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Net cash flow from operating activities
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$ (l)
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Cash flows from investing activities:
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Cash payments for acquisition of land
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(m)
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Cash flows from financing activities:
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Cash received as owner's investment
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(n)
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Deduct cash withdrawal by owner
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(o)
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Net cash flow from financing activities
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(p)
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Net cash flow and June 30, 2008, cash balance
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(q)
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Instructions
By analyzing the interrelationships among the four financial statements, determine the proper amounts for (a) through (q).