Marty's Repair Shop, Inc. opened on May 1. A summary of the May transactions follows:

1. Issued common shares for $28,000 cash.

2. Paid $1,280 for May office rent.

3. Purchased equipment for $16,000, paying $4,000 cash and signing a note payable for the balance.

4. Purchased supplies on account, $700.

5. Received $4,200 from customers for repair services provided.

6. Paid for supplies purchased in transaction 4.

7. Paid May telephone bill of $200.

8. Provided repair services on account to customers, $3,600.

9. Paid employee salaries, $2,000.

10. Received $700 in advance for repair services to be provided next month.

11. Collected $1,600 from customers for services billed in transaction 8.

12. Paid $1,000 dividends to shareholders.

13. Paid income tax of $600.

Instructions

(a) Prepare a tabular analysis of the effects of the above transactions on the expanded accounting equation.

(b) From an analysis of the retained earnings accounts (revenues, expenses, and dividends), calculate the ending balance in Common Shares, Retained Earnings, and total Shareholders' Equity.