Prepare a statement of cash flows for a hypothetical company using appropriate f ...

Prepare a statement of cash flows for a hypothetical company using appropriate financial data and methods. Using the transactions listed below for Audrey's Ice Cream Parlor, prepare a statement of cash flows for the month of April 2012. Classify the transactions into appropriate categories (operating activities, investing activities, and financing activities). a. Received cash of $40,000 total ($10,000 each) from four investors. Each investor received 100 shares of common stock. This took place on April 1. b. Paid three months' rent for the store on April 1 at $2,000 per month (recorded as prepaid expenses). c. Purchased ice cream and cones for $6,000 on account payable, due in 60 days. This took place on April 2. d. Purchased supplies for $1,000 cash on April 2. e. Received a two-year $11,000 loan at the bank. The note payable is dated April 2. f. Used the money from (e) to purchase a computer for $3,000 (for record keeping and inventory tracking) and to purchase $8,000 of used furniture and fixtures for the store. g. Placed a grand opening advertisement in the local paper for $600 cash. h. Made sales in the first half of the month totaling $5,000: $4,250 was in cash and the rest was on accounts receivable. The cost of the ice cream sold was $2,000. i. Made a $600 payment on accounts payable on April 18. j. Incurred and paid employee wages of $2000 for the month of April. k. Collected accounts receivable of $700 from customers. l. Made a repair to one of the refrigerators for $300. m. Made sales in the last half of the month for $6,000, all for cash. The cost of the ice cream sold was $2,400.