the answers to my some of questions were wrong. Please help me out.

Howard Company A

Diane Howard made the following request of a friend:

My bookkeeper has quit, and I need to see the balance sheets(Statement of Financial Position) of my company. He has left behind a book with the numbers already entered in it. Would you be willing to prepare balance sheets for me? Also, any comments you care to make about the numbers would be appreciated. The Cash account is healthy, which is a good sign, and he has told me that the net income in June was P19,635.

The book contained a detailed record of transactions, and from it the friend was able to copy off the balances at the beginning of the month and at the end of the month as shown in Exhibit 1. Diane Howard owned all the stock of Howard Company. At the end of June, Diane Howard paid herself an P11,700 dividend and used the money to repay her loan from the company.

Questions

Prepare balance sheets (Statement of Financial Position) as of June 1 and as of June 30, in proper format.

Make comments about how the financial condition as of the end of June compared with that at the beginning of June.

Why do retained earnings not increase by the amount of June net Income?

As of June 30, do you feel that Howard Company is worth the amount in Shareholders Equity, P619,446?. Explain.

Exhibit 1 Account Balances June 1 June 30 Accounts payable P8,517 P21,315 26,505 Accounts receivable 21,798 1,974 Accrued wages payable 2,202 156,000 157,950 Accumulated depreciation on building 5,304 5,928 Accumulated depreciation on equipment 8,385 29,250 Bank notes payable Building 585,000 585,000 Capital Stock 390,000 390,000 Cash 34,983 66,660 Equipment at cost 13,260 36,660 Land 89,700 89,700 29,835 26,520 Merchandise inventory 11,700 0 Note receivable, Diane Howard 5,265 Other noncurrent assets 4,857 2451 2451 Other noncurrent liabilities Prepaid insurance 3,150 2,826 Retained Earnings 229,446 221,511 Supplies on hand 5,559 6,630 Taxes payable 5,700 7224