. Analyze business transactions using the accounting equation. Enter each transaction into the accounting equation. Then, calculate the (1) amount of assets owned by Barry's Barrels of Ice Cream Inc. at the end of its first month of business and (2) the amount of net income for the month. All transactions took place during the first month; Barry's was open for 25 days. (LO 4)

a, Barry started the business by contributing \(\$ 8,500\) in exchange for common stock, and the firm borrowed \(\$ 2,500\) from the bank.

b. Barry's Barrels of Ice Cream purchased an ice cream delivery truck for \(\$ 3,500\) cash.

c. The business purchased \(\$ 1,500\) worth of ice cream and other items (its inventory) for cash.

d. Barry hired a delivery driver to work 2 days a week for a total of 8 days the first month to help deliver ice cream for the new company. For this service, Barry's paid \(\$ 25\) each day worked.

e. The ice cream delivery service was popular and Barry's sold two-thirds of its inventory for total cash revenues of \(\$ 4,500\).

f. Barry's paid operating expenses of \(\$ 115\) the first month.

g. Barry's repaid \(\$ 100\) of the bank loan along with \(\$ 5\) of interest for the first month.