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The following accounting equation worksheet shows

The following accounting equation worksheet shows the transactions for Data Services for its first month of business, May 2010: Requirements 1. Analyze each transaction in the accounting equation worksheet and describe the underlying exchange that resulted in each entry. 2. Has the company been profitable this month? Explain. 3. Prepare an income statement for the month ended May 31, 2010. 4. Prepare a statement of shareholders’ equity for the month ended May 31, 2010. 5. Prepare a statement of cash flows for the month ended May 31, 2010. 6. Prepare a balance sheet at May 31,2010.

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