The transactions and integrated financial statement framework for Terry Mason for February 2014 appear below: Terry Mason organized The Fifth Season at the beginning of February 2014. During February, The Fifth Season entered into the following transactions: a. Terry Mason invested $31,625 in The Fifth Season in exchange for capital stock. b. Paid $6,510 on February 1 for an Insurance premium on a 1-year policy. c. Purchased supplies on account, $3,720. d. Received fees of $39,175 during February. e. Paid expenses as follows: wages, $15,000: rent, $2,500; utilities, $1,250; and miscellaneous, $1,375. f. Paid dividends of $7,770. There was $2,418 of supplies on hand as of February 20 Statement of Cash Flows a. Investment b. Paid Insurance Balances c. Purchased supplies Assets Cash Supplies 31,625 Balance Sheet Liabilities Prepaid Insurance Accounts Payable Commi -6,510 6,510 25.115 6,510 3,720 3.720 c. Purchased supplies Balances d. Fees earned 3,720 3,720 25,115 3,720 6,510 3,720 39,175 Balances 6,510 3,720 64,290 3,720 e. Paid expenses -20,125 Balances, 44,165 3,720 6,510 3,720 f. Paid dividends -7,770 Balances 36,395 3,720 6,510 3,720 al. Insurance expense -543 Balances 36,395 3,720 5,967 3,720 a2. Supplies expense Balances, February 28 36,395 2,418 5,967 3,720 -1,302 The Fifth Season Income Statement For the Month Ended February 28, 20Y4 Fees earned 39,175 Operating expenses: Wages expense -15,000 Rent expense -2,500 Utilities expense -1.250 Supplies expense -1,302 Insurance expense -543 Miscellaneous expense -1.375 Total expenses 39,175 X Net income 17.205 V Feedback The Fifth Season Statement of Stockholders' Equity For the Month Ended February 28, 20Y4 Common Stock Retained Earnings Total Balance, February 1 Balance, February 28 Cash Supplies Prepaid insurance Total assets The Fifth Season Balance Sheet February 28, 2014 Assets Liabilities Accounts payable > Common stock Retained earnings Stockholders' Equity Total stockholders' equity Total liabilities and stockholders' equity 00000 00 > The Fifth Season Statement of Cash Flows For the Month Ended February 28, 2014 Cash flows from operating activities: Cash received from customers Cash paid for expenses Net cash flows from operating activities Cash flows from financing activities: Cash received for common stock Cash paid for dividends Net cash flows from financing activities Change in cash during February Cash as of February 1, 20Y4 Cash as of February 28, 20Y4 10000 0