Use the information in Exercise 1-14 to prepare an October 31 statement of cash flows for Real Solutions. Also assume the following:

a. The owner’s initial investment consists of $38,000 cash and $36,000 in land.

b. The company’s $28,000 equipment purchase is paid in cash.

c. The accounts payable balance of $7,500 consists of the $4,250 office supplies purchase and $3,250 in employee salaries yet to be paid.

d. The company’s rent, telephone, and miscellaneous expenses are paid in cash.

e. $2,000 has been collected on the $15,000 consulting fees earned.