10 100 points East Hill Home Healthcare Services was organized by four friends who each invested $15,000 in the company and, in turn, was issued 8,200 shares of $1.00 par value stock. To date, they are the only stockholders. At the end of last year, the accounting records reflected total assets of $721,000 ($60,000 cash; $503,000 land; $52,000 equipment, and $106,000 buildings), total liabilities of $212,000 (short-term notes payable of $108,000 and long-term notes payable of $104,000), and stockholders' equity of $509,000 ($20,000 of common stock, S80,000 of additional paid-in capital, and $409,000 retained earnings). During the current year, the following summarized events occurred: a. Sold 9,400 additional shares of stock to the original organizers for a total of $107,000 cash b. Purchased a building for$56,000, equipment for$13,000, and four acres of land for $18,000; paid $12,000 in cash and signed a note for the balance (due in 15 years). (Hint Five different accounts are affected c. Sold one acre of land acquired in (b) for $4,500 cash to another company. d. Purchased short-term investments for$19,000 cash e. One stockholder reported to the company that 350 shares of his East Hill stock had been sold and transferred to another stockholder for $3,500 cash f Lent one of the shareholders $5,700 for moving costs, receiving a signed six-month note from the shareholder. Required: 1. Was East Hill Home Healthcare Services organized as a sole proprietorship, a partnership, or a corporation? Sole proprietorship Partnership O Corporation 2. During the current year, the records of the company were inadequate. You were asked to prepare the summary of the preceding transactions. To develop a quick assessment of their economic effects on East Hill Home Healthcare Services, you have decided to complete the tabulation that follows and to use plus for increases and minus for decreases for each account. The first event is used as an example