Use the information in Exercise 1-14 to prepare an October 31 statement of cash flows for Real…

Use the information in Exercise 1-14 to prepare an October 31 statement of cash flows for Real Answers. In Exercise 1-14, On October 1, Keisha King organized Real Answers, a new consulting firm; on October 3, the owner contributed $84,000 cash. On October 31, the company’s records show the following items and amounts. Use this information to prepare an October income statement for the business.Cash . . . . . . . . . . . . . . . . . . . . . . . $11,360Accounts receivable . . . . . . . . . . 14,000Office supplies . . . . . . . . . . . . . . . 3,250Land . . . . . . . . . . . . . . . . . . . . . . . 46,000Office equipment . . . . . . . . . . . . 18,000Accounts payable . . . . . . . . . . . . . 8,500Owner investments . . . . . . . . . . . . 84,000Cash withdrawals by owner. . . . . . $ 2,000Consulting fees earned . . . . . . . . . 14,000Rent expense . . . . . . . . . . . . . . . . . 3,550Salaries expense . . . . . . . . . . . . . . 7,000Telephone expense. . . . . . . . . . . . . 760Miscellaneous expenses . . . . . . . . 580Also assume the following:a. The owner’s initial investment consists of $38,000 cash and $46,000 in land.b. The company’s $18,000 equipment purchase is paid in cash.c. The accounts payable balance of $8,500 consists of the $3,250 office supplies purchase and $5,250 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 $14,000 consulting feesearned.
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Use the information in Exercise 1 14 to prepare an October