Doug Van Buren established Ohm Computer Services on July 1, 2010. The effect of each transaction and the balances after each transaction for July are shown at the top of the following page.

Instructions

1. Prepare an income statement for the month ended July 31, 2010.

2. Prepare a statement of owner's equity for the month ended July 31, 2010.

3. Prepare a balance sheet as of July 31, 2010.

4. (Optional). Prepare a statement of cash flows for the month ending July 31,2010.

= Liabilities + Owner's Equity Assets Doug Doug Van Van Supplies Expense Accounts Accounts Buren Buren Fees Salaries Rent Auto Misc. Cash + Receivable + Supplies Payable + Capital Drawing + Earned - Expense - Expense - Expense - Expense +30,000 +30,000 a. +2.600 2,600 b. +2,600 2,600 Bal. 30,000 30,000 +29,500 29,500 +29,500 59,500 C. Bal. 2,600 2,600 30,000 d. -8,000 -8,000 51,500 Bal. 2,600 2,600 -1,250 1,350 30,000 29,500 -8,000 -1,250 e. Bal. 50,250 2,600 30,000 29,500 +20,750 50,250 -8,000 +20,750 20,750 f. 50,250 -8,000 Bal. 2,600 1,350 30,000 -5,750 44,500 -12,000 32,500 -3,875 -1,875 g. Bal. -3,875 20,750 2,600 1,350 30,000 50,250 -8,000 -1,875 h. -12,000 -12,000 -1,875 -8,000 Bal. 20,750 2,600 1,350 30,000 50,250 -3,875 i. -1,525 -1,525 -1,525 30,000 -12,000 -1,875 Bal. 32,500 20,750 1,075 1,350 50,250 -8,000 j. -7.500 25.000 -7,500 -7,500 Bal. 20,750 1,075 1,350 30,000 50,250 -12,000 -8,000 -3.875 -1,525 -1,875