Rashid started a business on February 1,2017 called ABC, Inc. ABC is a retail company that...

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Rashid started a business on February 1,2017 called ABC, Inc. ABC is a retail company that sells vintage jewelry and accessories. the following information was available on ABC Inc.: Cash Sales of jewelry $70,000 Sales on account for accessories 15,550 Cost of Goods which were sold and paid for 45,000 during February Expenses during January incurred, and paid for, during February: Salaries $5,000 Telephone Office supplies (all used) Electricity Utilities (will not be paid until March, 2017) 1000 205 155 300 Requirements: a Using the above information, prepare the income statement for ABC Inc, for the month ended February 28, 2017. (Rubrics: 0.25 mark for each correct element and correct form for Income Statement and heading, 0.5 mark for the correct calculations of Net Income. Total -3 marks) b What is the net cash flows from operating activities to be presented on the statement of cash flows or the month ended February 28, 2017? (Rubrics: 1 mark for correct calculation and answer. Total-1 mark) Rashid started a business on February 1,2017 called ABC, Inc. ABC is a retail company that sells vintage jewelry and accessories. the following information was available on ABC Inc.: Cash Sales of jewelry $70,000 Sales on account for accessories 15,550 Cost of Goods which were sold and paid for 45,000 during February Expenses during January incurred, and paid for, during February: Salaries $5,000 Telephone Office supplies (all used) Electricity Utilities (will not be paid until March, 2017) 1000 205 155 300 Requirements: a Using the above information, prepare the income statement for ABC Inc, for the month ended February 28, 2017. (Rubrics: 0.25 mark for each correct element and correct form for Income Statement and heading, 0.5 mark for the correct calculations of Net Income. Total -3 marks) b What is the net cash flows from operating activities to be presented on the statement of cash flows or the month ended February 28, 2017? (Rubrics: 1 mark for correct calculation and answer. Total-1 mark)

Answer rating: 100% (QA)

1 a ABC Inc Income Statement For the Month Ended February 28 2... View the full answer