3. Slick Auto Sales decided to create a branch in Mason City at the start of 19X3. The branch operation had the following transactions during 19X3: A. Automobiles costing $350,000 and cash of $200,000 were transferred from the home office. B. The branch purchased on account additional automobile inventory of $400,000 from other distributors. C. Sales of $650,000 were made by the branch during the period. The cost of these sales was $425,000. Cash of $600,000 was collected from sales during the year. D. Advertising costs of $40,000, sales commissions of $65,000, and other operating costs of $45,000 were incurred and paid by the branch. E. The branch paid $370,000 on account to other distributors and returned $120,000 to the home office. Required: A. Record each of the transactions on the books of the branch. B. Prepare an income statement for the branch for 19X3. C. Prepare a balance sheet as of December 31, 19X3, for the branch.