Question 4

Kinneys Repair Ltd. was started on May 1. A summary of May transactions is presented below.

1.		Shareholders invested 19,662 cash in the business in exchange for ordinary shares.
2.		Purchased equipment for 4,931 cash.
3.		Paid 337 cash for May office rent.
4.		Paid 617 cash for supplies.
5.		Incurred 322 of advertising costs in the Beacon News on account.
6.		Received 5,148 in cash from customers for repair service.
7.		Declared and paid a 1,491 cash dividend.
8.		Paid part-time employee salaries 833.
9.		Paid utility bills $156.
10.		Performed repair service worth 925 on account.
11.		Collected cash of 106 for services billed in transaction (10).

Prepare a tabular analysis of the transactions. Revenue is called Service Revenue. (If an amount reduces the account balance then enter with a negative sign preceding the number e.g. -15,000 or parenthesis (15,000).)

From an analysis of the Retained Earnings columns, compute the net income or net loss for May.