On April !. Matrix Travel Agencj was established. The following transactions were completed during the month.

1. Stockholders invested $10,000 cash, receiving stock in exchange.

2. Paid $400 cash tor April office rent.

3. Purchased office equipment for $2,500 cash.

4. Incurred $300 of advertising costs m the Chicago Tribune, on account.

5. Paid $600 cash toi office supplies.

6. Earned $7,500 lot services rendered: $1,000 cash is received from customers, and the balance ot $6,500 is billed to customers on account.

7. Paid $200 cash dividend.

S. Paid Chicago Tribune amount due in transaction (4).

9. Paid employees' salaries $2,200 10. Received $5,000 m cash from customers who have previously been billed in transaction (6).

Instructions

(a) Prepare a tabular analysis of the transactions using the following column headings: Cash.

Account- Receivable. Supplies, Office Equipment, Accounts Payable, Common Stock, and Retained Earnings.

(b) From an analysis of the Retained Earnings column, compute the net income or net loss for April.