Carmen Camry operates a consulting firm called Help Today, which began operations on August 1. On August 31, the company’s records show the following accounts and amounts for the month of August.

Use the following information for the Exercises below.

Carmen Camry operates a consulting firm called Help Today, which began operations on August 1. On August 31, the company’s records show the following accounts and amounts for the month of August.


                             
Cash     $     25,410     Consulting fees earned     $     27,060
Accounts receivable           22,420     Rent expense           9,610
Office supplies           5,320     Salaries expense           5,650
Land           44,050     Telephone expense           940
Office equipment           20,060     Miscellaneous expenses           560
Accounts payable           10,510     Common stock           102,500
Dividends           6,050      

 Exercise 2-16 Preparing an income statement LO C3, P3

Use the above information to prepare an August income statement for the business.
 

Exercise 2-17 Preparing a statement of retained earnings LO P3

Use the above information to prepare an August statement of retained earnings for Help Today. (Hint: Net income for August is $10,300.) 

Exercise 2-18 Preparing a balance sheet LO P3

Use the above information to prepare an August 31 balance sheet for Help Today. (Hint: The ending retained earnings account balance as of August 31 is $4,250.)