The following balance sheets for 2010 June 30, and 2010 May 31, and the income statement for June are for Beach Camping Trailer Storage, Inc. (Common practice is to show the most recent period first.)
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BEACH CAMPING TRAILER STOR AGE, INC |
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June 30, |
May 31, |
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2010 |
2010 |
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Assets |
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Cash |
$52,000 |
$60,000 |
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Accounts receivable |
24,000 |
-0- |
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Land |
36,000 |
36,000 |
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Total assets |
$112,000 |
$96,000 |
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Liabilities and Stockholders” |
Equity |
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Accounts payable |
$18,000 |
$24,000 |
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Capital stock |
60,000 |
60,000 |
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Retained earnings |
34,000 |
12,000 |
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Total liabilities and stockholders” equity |
$112,000 |
$96,000 |
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BEACH CAMPING TRAILER STORAGE, INC. , Income Statement For the Month Ended 2010 June 3 |
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Revenues: |
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Service revenue |
$100,000 |
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Expenses: |
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Salaries expense |
$48,000 |
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Supplies bought and used |
24,000 |
72,000 |
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Net income |
$28,000 |
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A cash dividend of USD 6,000 was declared and paid in June.
State the probable causes of the changes in each of the balance sheet accounts from May 31 to 2010 June 30.