Mr. X started her own consulting firm, "X" Consulting, on May 1, 2020. The following transactions occurred during the month of May. May

1 Mr X invested $20,000 cash in the business.

2 Purchased Equipment $1000 on credit for the month.

3 Purchased $500 of supplies on account.

5 Paid $225 to advertise in the Mounty News.

9 Received $6,000 cash for services provided.

12 Drawings $1,000 cash for personal use.

15 Performed $7,400 of services on account.

17 Paid $2,500 for employee salaries.

20 Paid for the supplies purchased on account on May 3.

23 Received a cash payment of $5,000 for services provided on account on May 15.

26 Borrowed $5,000 from the bank on a note payable.

29 Purchased office equipment for $5,200 in cash.

30 Paid $500 for utilities.

Instructions

(a) Show the effects of the previous transactions on the accounting equation using the following

(b) Prepare an Owner Equity Statement for the month of May.