A tabular analysis of the transactions made during August 2022 by Wildhorse Co. during its first month of operations is shown below. Each increase and decrease in stockholders equity is explained.

		Assets							=	Liabilities	+	Stockholders Equity
		Cash	+	A/R	+	Supp.	+	Equip.	=	Accounts Payable	+	Common Stock	+	Retained Earnings
														Revenues		Expenses		Dividends
1.		$20,800										$20,800
2.		1,510						$4,910		$3,400
3.		600				$600
4.		4,400		$6,200										$10,600					Serv. Rev.
5.		2,000								2,000
6.		1,600																$1,600
7.		700														$700			Rent Exp.
8.		380		380
9.		2,600														2,600			Sal. Exp.
10.										360						360			Util. Exp.

(a)

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Your answer is correct.

Prepare an income statement for August.

WILDHORSE CO. Income Statement choose the accounting period For the Month Ended August 31, 2022For the Year Ended August 31, 2022August 31, 2022
select an opening name for section one DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues
enter an income statement item		$enter a dollar amount
select an opening name for section two DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues
enter an income statement item	$enter a dollar amount
enter an income statement item	enter a dollar amount
enter an income statement item	enter a dollar amount
select a closing name for section two DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues		enter a total of the three previous amounts
select a closing name for this statement DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues		$enter a total net income or loss amount

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(b)

Prepare a retained earnings statement for August. (List items that increase retained earnings first.)

WILDHORSE CO. Retained Earnings Statement choose the accounting period For the Month Ended August 31, 2022For the Year Ended August 31, 2022August 31, 2022
select an opening name DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues	$enter a dollar amount
select between addition and deduction AddLess: select an item DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues	enter a dollar amount
	enter a subtotal of the two previous amounts
select between addition and deduction AddLess: select an item DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues	enter a dollar amount
select a closing name DividendsExpensesNet Income / (Loss)Retained Earnings, August 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues	$enter a total amount