On May 1, 2020, Ivanhoe Flying School Ltd., a company that provides flying lessons, was started with an investment of 38,700 cash in the business. Following are the assets and liabilities of the company on May 31, 2020, and the revenues and expenses for the month of May (all amounts in thousands). Cash 3,870 Notes Payable 24,080 Accounts Receivable 6,380 Rent Expense 860 Equipment 55,040 Maintenance and Repairs Expense 344 Service Revenue 5,848 Gasoline Expense 2,150 Advertising Expense 430 Utilities Expense 344 Accounts Payable 1,204 No additional investments were made in May, but the company paid dividends of 414,000 during the month. Prepare an income statement for the month of May. IVANHOE FLYING SCHOOL LTD. Income Statement (in thousands) For the Month Ended May 31, 2020 Revenues Service Revenue 5848 Expenses Advertising Expense 430 Rent Expense 860 Maintenance and Repairs Expense 344 Gasoline Expense 2150 Utilities Expense 344 Total Expenses 4128 Net Income / (Loss) 1720 eTextbook and Media List of Accounts Prepare a retained earnings statement for the month of May. (List items that increase retained earnings first.) IVANHOE FLYING SCHOOL LTD. Retained Earnings Statement (in thousands) For the Month Ended May 31, 2020 Retained Earnings, May 1 0 Add : Net Income / (Loss) 1720 1720 Less : Dividends 414000 Retained Earnings, May 31 412280 eTextbook and MediaAssistance Used List of Accounts Prepare a statement of financial position at May 31. (List Assets in reverse order of liquidity.) IVANHOE FLYING SCHOOL LTD. Statement of Financial Position (in thousands) Assets Cash 3870 Accounts Receivable 6380 Equipment 55040 Total Assets 65290 Equity and Liabilities Liabilities Accounts Payable 1204 Notes Payable 24080 Total Liabilities 25284 Equity Share Capital-Ordinary 38700 Retained Earnings 412280 Total Equity 40006 Total Equity and Liabilities 65290 eTextbook and Media List of Accounts Prepare an income statement for May assuming the following data are not included above: (1) 774,000 worth of services were performed and billed but not collected at May 31, and (2) 1,290,000 of gasoline expense was incurred but not paid. IVANHOE FLYING SCHOOL LTD. Income Statement (in thousands) Revenues Service Revenue 774000 Expenses Advertising Expense 430 Rent Revenue 860 Maintenance and Repairs Expense 344 Gasoline Expense 1290000 Utilities Expense 344 Total Expenses 1291978 Net Income / (Loss) 517978 eTextbook and Media List of Accounts Prepare a retained earnings statement for May assuming the following data are not included above: (1) 774,000 worth of services were performed and billed but not collected at May 31, and (2) 1,290,000 of gasoline expense was incurred but not paid. (List items that increase retained earnings first.) IVANHOE FLYING SCHOOL LTD. Retained Earnings Statement (in thousands) Retained Earnings, May 1 0 Add : Net Income / (Loss) 517978 :