• 
  

  Account Title	Debit ($) (Apr)	Credit ($) (Apr)	Debit ($) (May)	Credit ($) (May)
  Cash	180,000		185,000
  Accounts Receivable	200,000		205,000
  Inventory	210,000		215,000
  Prepaid Expenses	95,000		100,000
  Equipment	440,000		450,000
  Accumulated Depreciation		150,000		155,000
  Accounts Payable		175,000		180,000
  Notes Payable		30,000		25,000
  Common Stock		330,000		340,000
  Retained Earnings		280,000		290,000
  Sales Revenue		680,000		700,000
  Cost of Goods Sold	240,000		245,000
  Rent Expense	76,000		78,000
  Utilities Expense	23,000		24,000
  Salary Expense	160,000		165,000
  --------------------------	----------------------	----------------------	----------------------	----------------------
  Total	1,400,000	1,400,000	1,440,000	1,440,000

  Requirements:

  • Prepare a comparative income statement for April and May.
  • Create a comparative balance sheet as of the end of April and May.
  • Calculate the change in retained earnings between April and May.
  • Analyze the financial performance and changes in financial position over the two months.