Accounting equation

Captivating Inc. is a motivational consulting business. At the end of its accounting period, May $31,20$Y$2,$ Captivating Inc. has assets of $$6,400,000$ and liabilities of $$2,450,000.$

On August $1,20$Y$9,$ Brooke Kline established Western Realty. Brooke completed the following transactions during the month of August:

a$.$ Opened a business bank account with a deposit of $$22,000$ in exchange for common stock.

b$.$ Paid rent on office and equipment for the month, $$2,500.$

c$.$ Paid automobile expenses for month, $$1,350,$ and miscellaneous expenses, $$500.$

d$.$ Purchased office supplies on account, $$1,150.$

e$.$ Earned sales commissions, receiving cash, $$18,000.$

f$.$ Paid creditor on account, $$650.$

g$.$ Paid office salaries, $$2,900.$

h$.$ Paid dividends, $$3,000.$

i$.$ Determined that the cost of supplies on hand was $$400$; therefore, the cost of supplies used was $$750.$

Using the accounting equation and considering each case independently, determine the following amounts:

a$.$ Stockholders' equity as of May $31,20Y2.$ Wolverine Realty

Income Statement

For the Month Ended April $30,20$ Yo

Wolverine Realty

Statement of Stockholders' Equity

For the Month Ended April $30,20$Y$0$ Wolverine Realty

Balance Sheet

April $30,20$ Y$0$

Assets

Wolverine Realty

Statement of Cash Flows

For the Month Ended April $30,20$ Yo

Cash flows from $($used for$)$ operating activities:

Cash received from customers

Cash paid for expenses and to creditors

Net cash flows from operating activities

Cash flows from $($used for$)$ investing activities:

Cash paid for land

Cash flows from $($used for$)$ financing activities:

Cash received from issuing common stock

Cash paid for dividends

Net cash flows from financing activities

Net increase $($decrease$)$ in cash

Cash balance, April $1,20$ Y$0$

Cash balance, April $30,20$ YO

$

b$.$ Stockholders' equity as of May $31,20$Y$3,$ assuming that assets increased by $$600,000$ and liabilities increased by $$300,000$ during $20Y3.$

$

c$.$ Stockholders' equity as of May $31,20$Y$3,$ assuming that assets decreased by $$700,000$ and liabilities increased by $$150,000$ during $20$ Y $3.$

q

d$.$ Stockholders' equity as of May $31,20$Y$3,$ assuming that assets increased by $$470,000$ and liabilities decreased by $$70,000$ during $20Y3.$

$

e$.$ Net income $($or net loss$)$ during $20$Y$3,$ assuming that as of May $31,20$Y$3,$ assets were $$7,400,000,$ liabilities were $$2,550,000,$ and no additional common stock was issued or

dividends paid.