Part 2 On December 31, 2020, Huron Ltd. provided services to a customer for which the customer paid $1,000 in cash on that date, but the company mistakenly left this sale out of its accounting records when it prepared the financial statements shown below. 1 A Huron Ltd. Income Statement For the Year Ended December 31, 2020 B 2 Income 3 Expenses 4 Net income 5 $ 700,000 670,000 $ 30,000 1 A Huron Ltd. Statement of Retained Earnings For the Year Ended December 31, 2020 2 Beginning retained earnings 3 Net income 4 Cash dividends 5 Ending retained earnings 6 $ 120,000 30,000 (10,000) $ 140,000 A 1 Huron Ltd. Balance Sheet As at December 31, 2020 2 Assets 3 Cash 4 All other assets 5 Total assets 6 Liabilities 7 Total liabilities 8 Shareholders' Equity 9 Common shares 10 11 12 Retained earnings Total liabilities and shareholders' equity $ 25,000 275,000 $300,000 $ 120,000 40,000 140,000 $300,000 A Huron Ltd. Statement of Cash Flows For the Year Ended December 31, 2020 2 Net cash provided by operating activities 3 Net cash used for investing activities 4 Net cash provided by financing activities 5 Net increase in cash 6 Beginning cash balance 7 Ending cash balance 8 $ 90,000 (110,000) 40,000 20,000 5,000 $ 25,000