James Nesbitt established Up-Date Computer Services on August 1, 20Y4. The effect of each transaction and the balances after each transaction for August are shown below in the integrated financial statement framework.

Instructions

1. Prepare an income statement for the month ended August 31, 20Y4.

2. Prepare a statement of stockholders' equity for the month ended August 31, 20Y4.

3. Prepare a balance sheet as of August 31, 20Y4.

4. Prepare a statement of cash flows for the month ended August 31, 20Y4.

Financial Statement Effects BALANCE SHEET Assets = Liabilities Stockholders' Equity Common Notes Retained Cash LandPayableStockEarnings Land Payable + a. Issued common 25,000 25,000 25,000 stock ,600 b. Fees earned 27000 27000 (2,500) 24,500 Balances 52,000 (2,500) 49,500 c. Rent expense Balances d. Issued notes 10,000 payable Balances o,p 10,000 25,000 24,500 e. Purchased land (40,000) 19,500 f. Paid expenses (1,900) 40,000 40,000 Balances 10,000 25,000 24,500 (1,900) 22,600 Balances g. Paid salary expense Balances 17,600 40,000 10,000 25,000 (4,600) 13,000 (3,000) 10,000 (4,600) 18,000 (3,000) 15,000 40,000 10,000 25,000 i. Paid dividends Balances, Aug. 31 40,000 10,000 25,000 STATEMENT OF CASH FLoWS a. Financing b. Operating c. Operating d. Financing e. Investing f. Operating g. Operating h. Financing INCOME STATEMENT 25,000 27000 (2,500) 10,000 (40,000) (1,900) (4,600) (3,000) 10,000 b. Fees earned c. Rent expense f. Auto expense f. Misc. expense g. Salary expense 27,000 (2,500) (1,200) (700) (4,600) 18,000 Net income Increase in cash