2-a. Prepare the income statement for May. 2-b. Prepare the statement of retained earnings for May. 2-c. Prepare the balance sheet for May 31. 3. Prepare the statement of cash flows for May. Required information Problem 1-7A (Algo) Analyzing transactions and preparing financial statements LO P1, P2 [The following information applies to the questions displayed below.] Gabi Gram started The Gram Company, a new business that began operations on May 1. The Gram Company completed the following transactions during its first month of operations. May 1 G. Gram invested $42,000 cash in the company in exchange for its common stock. May 1 The company rented a furnished office and paid $2,300 cash for May's rent. May 3 The company purchased $1,870 of equipment on credit. May 5 The company paid $760 cash for this month's cleaning services. May 8 The company provided consulting services for a client and immediately collected \$6,000 cash. May 12 The company provided $2,600 of consulting services for a client on credit. May 15 The company paid $750 cash for an assistant's salary for the first half of this month. May 20 The company received $2,600 cash payment for the services provided on May 12 . May 22 The company provided $3,900 of consulting services on credit. May 25 The company received $3,900 cash payment for the services provided on May 22. May 26 The company paid $1,870 cash for the equipment purchased on May 3. May 27 The company purchased $80 of equipment on credit. May 28 The company paid $750 cash for an assistant's salary for the second half of this month. May 30 The company paid $350cash for this month's telephone bill. May 30 The company paid $260 cash for this month's utilities. May 31 The company paid $1,500 cash in dividends to the owner (sole shareholder). 2-a. Prepare the income statement for May. 2-b. Prepare the statement of retained earnings for May. 2-c. Prepare the balance sheet for May 31. 3. Prepare the statement of cash flows for May. Required information Problem 1-7A (Algo) Analyzing transactions and preparing financial statements LO P1, P2 [The following information applies to the questions displayed below.] Gabi Gram started The Gram Company, a new business that began operations on May 1. The Gram Company completed the following transactions during its first month of operations. May 1 G. Gram invested $42,000 cash in the company in exchange for its common stock. May 1 The company rented a furnished office and paid $2,300 cash for May's rent. May 3 The company purchased $1,870 of equipment on credit. May 5 The company paid $760 cash for this month's cleaning services. May 8 The company provided consulting services for a client and immediately collected \$6,000 cash. May 12 The company provided $2,600 of consulting services for a client on credit. May 15 The company paid $750 cash for an assistant's salary for the first half of this month. May 20 The company received $2,600 cash payment for the services provided on May 12 . May 22 The company provided $3,900 of consulting services on credit. May 25 The company received $3,900 cash payment for the services provided on May 22. May 26 The company paid $1,870 cash for the equipment purchased on May 3. May 27 The company purchased $80 of equipment on credit. May 28 The company paid $750 cash for an assistant's salary for the second half of this month. May 30 The company paid $350cash for this month's telephone bill. May 30 The company paid $260 cash for this month's utilities. May 31 The company paid $1,500 cash in dividends to the owner (sole shareholder)