Gail's Greenhouse,Inc Requirements:
A

Gail's Greenhouse,Inc.,a small retail store which sells house plants,started business on January 1,2010.At the end of January,2010,the following information was available:
$\begin{array}{lr}\text { Sales of plants for cash } && \$ 75,000 \\\text { Sales of plants for credit (not yet collected) } && 15,000 \\\text { Cost of plants which were sold and paid for during January } && 45,000 \\\text { Expenses during incurred and paid for during January unless } & \\\text { otherwise noted: } & \\\quad \text { Salaries } & \$ 5,000 \\\text { Telephone } & 250 \\\text { Office supplies (all used) } & 150 \\\text { Electricity } &300 \\\text { Rent on the store for January, } 2010 \text { (will not be paid untilFebruary, 2010) } & 1,000\end{array}$ Requirements:
A.Using the above information,prepare the income statement for Gail's Greenhouse for the month ended January 31,2010.
B.What is the amount of cash flows provided by operating activities to be presented on the statement of cash flows?