1. The owner of the company pays in $50 000 into the cash as starting capital. 2

1. The owner of the company pays in $50 000 into the cash as starting capital.
2. The bank grants the company a bank loan of $40 000 the interest is 15 % annually and the loan will run for 4 years. Loan repayments are made quarterly and the interest for January is paid the 31st of January.
3. During January the company buys furniture and material on credit for $90 000.
4. Sales on credit during January is $350 000. Invoices are sent out to customers.
5. The rent $10 000 for January is paid in cash.
6. The company receives an invoice for machinery purchase on the amount of $60 000.
7. The company receives an invoice for offices supplies on the amount of $9 000 all the office supplies is used and gone during January.
8. During January the customers pays some of their debts to the company in total $240 000.
9. The company receives an invoice for telephone used during January $2 000 the invoice is paid 10th of February.
10. The company pays salary to their employees on the 25th of January total $85 000 in cash.
11. During January the company pays different suppliers total $55 000.
12. Depreciation for the month is $1 000.
13. By the end of the month is the value of the remaining stock of products $10 000.Open a balance sheet and an income statement for January. Show each of the transactions on the two statements as a series of pluses and minuses (show your calculations) and transfer the profit or loss to the balance sheet. Prepare a cash flow statement for the month. No tax.