D w F M N 0 The Gram Co. Income Statement For the Month ended May 31 Check figures: Net income = $6,070, Retained earnings =$4,670; Total assets = Total liabilities + equity = $44,750 Revenues Expenses Total expenses Net income 3 9 20 The Gram Co. Statement of Retained Earnings 22 For the Month ended May 31 23 24 Retained earnings, May 1 25 26 Add: Net income 27 Subtract: Dividends 28 Retained earnings, May 31 29 30 31 The Gram Co. 32 Balance Sheet 33 As of May 31 34 Assets 35 Liabilities Equity 27 36 39 40 Total assets Total liabilities and equity Part 1 Part 2 Part 3 Accounts Payable Common Stock Office Equipment + Accounts Receivable Dividends Revenues Expenses . Cash 2,200 750 5,400 2,500 750 1-May G. Gram Invested $40,000 cash in the company in exchange for its common stock $40,000 $ 40,000 1-May The company rented a furnished office and paid $2,200 cash for May's rent. 12,200) 3-May The company purchased $1,890 of office equipment on credit 1,890 1,890 5-May The company paid $750 cash for this month's cleaning services (750) B-May The company provided consulting services for a client and immediately collected $5,400 cash. 5,400 12-May The company provided $2,500 of consulting services for a client on credit. 5 2,500 15-May The company paid $750 cash for an assistant's salary for the first half of this month 27 (750) 28 20 May The company received $2,500 cash payment for the services provided on May 12 29 2.500 12.500) 30 22-May The company provided $3,200 of consulting services on credit. 31 3,200 32 25-May The company received $3,200 cash payment for the services provided on May 22 33 3,200 (3,200) 34 26-May The company paid $1,890 cash for the office equipment purchased on credit on May 3. 35 (1,890) (1,890) 36 27-May The company purchased 50 of office equipment on credit 37 80 80 28-May The company paid 5750 cash for an assistant's salary for the second half of this month 39 0750) 40 30 May The company paid 5300 cash for this month's telephone bill (300) 30 May The company paid $280 cash for this month's utilities 1280) 31-May The company paid $1,400 cash in dividends to the owner sole shareholder) (1.4001 S 42,780 1,970 5 BO 40,000 3,200 - Ota 18 750 300 41 280 44 1.400 1,400 + + 11,100 5,030