1. Enter the transactions for May into the accounting equation, calculating new balance after each entry.

2. Prepare the Income Statement for the month of May.

3. Prepare the Statement of Retained Earnings for the Month of May.

4. Prepare the Balance Sheet as of May 31, 20xx.

Module 1 Assignment: Bill Smith opened Smith Construction on April 1, 20xx. The following amounts summarize the transactions and financial position of Smith construction as of May 31. During May the following transactions occurred: 1-May Smith received $10,000 as an inheritance and used it to buy stock in the company 7-May Smith paid his accounts payable balance 15-May Smith replaced some windows for a client and received $5,000 cash for his services 17-May Smith collected $1,200 from a customer for a job performed in April 20-May Smith purchased supplies for $1,000 on account 24-May Smith gave a bid to a customer and billed the customer for the services performed $800 25-May Smith sold $5,000 of company stock to his brother 28-May Smith paid wages to his workers of $1,800 30-May Smith paid office rent of $1,000 30-May Smith paid dividends to himself of $1,400 Enter the transactions for May into the accounting equation, calculating new balances after each e Liabilities+ Stockholders' Equ Service Assets Accounts Accounts Retained Common stock Salaries Cash + receivableSuppliesEquipment Rent Ex Dividends Earni $1,540.00+ $1,540.00$3,680.00-+ $1,540.00+ $1,540.00 +$3,680.00 + $1,540.00 $3,680.00 + $1,540.00+ $3,680.00 + $1,540.00+ +$24,000.00$5,100.00 $21,000.00$5,100.001,980.00 +$24,000.00 $5,100.00$21,000.00$5,100.00 +$24,000.00 $5,100.00$21,000.00$5,100.00 +$24,000.00 $5,100.00$21,000.00$5,100.00 +$24,000.00 $5,100.00$21,000.00$5,100.00 - +$24,000.00$5,100.00 $21,000.00$5,100.00 +$24,000.00 $5,100.00$21,000.00$5,100.00$1,980.00 3,680.00+ April Bal. 1-Ma B0.00 1,980.00 $1,980.00 $1,980.00 1,980.00 7-May $3,680.00+ 15-Ma 17-Ma 20-Ma 24-May $3,680.00+