The following accounting equation worksheet shows the transactions for Data Services for its first month of business, May 2010:
Prepare a statement of cash flows for the month ended May 31, 2010.
Prepare a balance sheet at May 31, 2010.
Transactions
a. Black began his business by depositing 525.000 into the business checking account. He received common stock in exchange.
b. The company provided services to customers for 533.000 cash.
c. The company paid travel expenses in the amount of 52.000 cash.
d. The company borrowed 515.000 from the bank for operating capital.
e. The company purchased 5350 worth of office supplies (for future use from Salem Office Supplies for cask
f. During the month. the company paid cash of 56.000 for operating expenses.
g. The company paid monthly rent on the retail space in the a cunt of 3950
h. The company paid the staff 54.700.
i. The company declared and paid a dividend of 5750 to the owner, John Black
j. On the last day of the month Black's purchased equipment costing $8,750 by signing a note payable with the bank.