1.8. Net Income and Change in Owner's Equity

Wilhelm Kohl started a business in May 20-- called Kohls Home Repair. The trial balance showing balances for the month of May are shown.

Kohl's Home Repair Trial Balance May 31, 20--
Account	Debit Balance	Credit Balance
Cash	12,210
Accounts Receivable	2,900
Office Supplies	100
Prepaid Insurance	900
Equipment	8,000
Van	9,000
Accounts Payable		4,500
Wilhelm Kohl, Capital		20,000
Wilhelm Kohl, Drawing	2,000
Service Fees		12,400
Rent Expense	900
Wages Expense	500
Phone Expense	200
Gas and Oil Expense	190
Totals	36,900	36,900

Required:

Determine the following information. Use the format provided below.

1.	a. Total revenue for the month		$fill in the blank 1
	b. Total expenses for the month		$fill in the blank 2
	c. Net income for the month		$fill in the blank 3
2.	a. Wilhelm Kohl's original investment in the business		$fill in the blank 4
	+ Net income for the month	$fill in the blank 5
	- Owner's drawing	fill in the blank 6
	Increase (decrease) in capital		fill in the blank 7
	= Ending owner's equity		$fill in the blank 8

b. End of month accounting equation:

Assets	=	Liabilities	+	Owner's Equity
$_____		$________		_________