Financial Statements

The transactions and integrated financial statement framework for Terry Mason for February 20Y4 appear below:

Alex Vera organized Succulent Express at the beginning of February 20Y4. During February, Succulent Express entered into the following transactions:

1. Terry Mason invested $28,250 in Succulent Express in exchange for common stock.
2. Paid $6,400 on February 1 for an insurance premium on a one-year policy.
3. Purchased supplies on account, $1,380.
4. Received fees of $46,665 during February.
5. Paid expenses as follows: wages, $20,400; rent, $3,400; utilities, $1,700; and miscellaneous, $1,870.
6. Paid dividends of $7,770.

There was $1,104 of supplies on hand as of February 28.

Financial Statement Effects

		Balance Sheet
	Assets	=	Liabilities	+	Stockholders' Equity
	Cash	+	Supplies	+	Prepaid Insurance	=	Accounts Payable	+	Common Stock	+	Retained Earnings
a.	Investment	28,250								28,250
b.	Paid insurance	-6,400				6,400
	Balances	21,850				6,400				28,250
c.	Purchased supplies			1,380				1,380
	Balances	21,850		1,380		6,400		1,380		28,250
d.	Fees earned	46,665										46,665
	Balances	68,515		1,380		6,400		1,380		28,250		46,665
e.	Paid expenses	-27,370										-27,370
	Balances	41,145		1,380		6,400		1,380		28,250		19,295
f.	Paid dividends	-7,770										-7,770
	Balances	33,375		1,380		6,400		1,380		28,250		11,525
a1.	Insurance expense					-533						-533
	Balances	33,375		1,380		5,867		1,380		28,250		10,992
a2.	Supplies expense			-276								-276
	Balances, February 28	33,375		1,104		5,867		1,380		28,250		10,716
Statement of Cash Flows		Income Statement
a.	Financing	28,250		d.	Fees earned	46,665
b.	Operating	-6,400		e.	Wages expense	-20,400
d.	Operating	46,665		e.	Rent expense	-3,400
e.	Operating	-27,370		e.	Utilities expense	-1,700
f.	Financing	-7,770		e.	Miscellaneous expense	-1,870
	Increase in cash	33,375		a1.	Ins. exp.	-533
				a2.	Supplies exp.	-276
					Net income	18,486

Prepare an income statement for February.

CashFees earnedRent expenseSupplies expense		$- Select -
Operating expenses:
DividendsFees earnedPrepaid insuranceWages expense	$- Select -
Accounts payableCashRent expenseRetained earnings	- Select -
Common stockCashDividendsUtilities expense	- Select -
Common stockFees earnedRetained earningsSupplies expense	- Select -
CashDividendsInsurance expensePrepaid insurance	- Select -
Accounts payableCommon stockFees earnedMiscellaneous expense	- Select -
Total operating expenses		fill in the blank 2d460802b061071_15
Net incomeNet loss		$- Select -

Prepare a retained earnings statement for February. If an amount box does not require an entry, leave it blank.

	Common Stock	Retained Earnings	Total
Balances, Feb. 1, 20Y4	fill in the blank bf0a47f3502e065_1	fill in the blank bf0a47f3502e065_2	fill in the blank bf0a47f3502e065_3
CashIssued common stockMiscellaneous expensePrepaid insuranceSupplies	- Select -	- Select -	- Select -
CashNet incomeNet lossRetained earningsRent expense	- Select -	- Select -	- Select -
CashDividendsNet lossRetained earningsSupplies expense	- Select -	- Select -	- Select -
Balances, Feb. 28, 20Y4	$fill in the blank bf0a47f3502e065_16	$fill in the blank bf0a47f3502e065_17	$fill in the blank bf0a47f3502e065_18

Prepare a balance sheet for February.

Assets
Accounts payableCashFees earnedRent expense		$- Select -
Common stockDividendsSuppliesSupplies expense		- Select -
Insurance expensePrepaid insuranceRetained earningsUtilities expense		- Select -
Total assets		$fill in the blank bd93400dff96029_7
Liabilities
Accounts payablePrepaid insuranceRetained earningsSupplies		$- Select -
Stockholders' Equity
Common stockCashFees earnedWages expense	$- Select -
Accounts payablePrepaid insuranceRetained earningsSupplies	- Select -
Total stockholders' equity		fill in the blank bd93400dff96029_14
Total liabilities and stockholders' equity		$fill in the blank bd93400dff96029_15

Prepare a statement of cash flows for February. If your answer is zero enter "0". Enter net cash outflows beginning with a minus sign.

Cash flows from (used for) operating activities:
Cash paid to customersCash received from customersIncrease in prepaid insuranceIncrease in suppliesNet increase in cash during February	$- Select -
Cash paid as dividendsCash paid for expensesNet cash flows from financing activitiesNet incomeNet increase in cash during February	- Select -
Cash received from issuing common stockCash received from customersNet cash flows from financing activitiesNet cash flows from operating activitiesNet increase in cash during February		$- Select -
Cash flows from (used for) financing activities:
Cash paid for expensesCash received from customersNet cash flows from investing activitiesNet incomeCash received from issuing common stock	$- Select -
Cash paid as dividendsCash paid for expensesIncrease in expensesIncrease in suppliesNet income	- Select -
Cash paid for expensesCash received from customersNet cash flows from financing activitiesNet cash flows from investing activitiesNet increase in cash during February		- Select -
Cash received from customersNet increase in cash during FebruaryNet cash flows from financing activitiesNet cash flows from investing activitiesNet income		$- Select -
Cash as of February 1, 20Y4Cash received from customersNet cash flows from investing activitiesNet incomeNet increase in cash during February		- Select -
Cash as of February 28, 20Y4Cash received from customersNet cash flows from operating activitiesNet incomeNet increase in cash during February		$- Select -