AquaBreeze Aquariums: Transactions for Month-End Closing Process - July 1. Initial Balances (as of July 1): - Cash: $60,000 - Accounts Receivable: $9,000 - Inventory (aquarium supplies): $28,000 - Prepaid Insurance: $12,000 (covers the entire year) - Equipment: $18,000 - Accumulated Depreciation (Equipment): $9,000 - Accounts Payable: $11,000 - Bank Loan: $40,000 - Owner's Equity: $52,000 - Retained Earnings: $15,000 2. Transactions during July: a. Sold aquarium setups worth $54,000;$35,000 were cash sales, and the remaining $19,000 were on credit. b. Installation and maintenance service charges billed to customers amounted to $30,000, of which $25,000 was received in cash. c. Purchased additional aquarium inventory worth $15,000 on credit. d. Paid off $8,500 of the outstanding accounts payable. e. Paid staff salaries for July, totaling $22,000. f. Ordered advertising in a popular home and garden magazine for $4,000. The ad will run in the August edition. g. Collected $7,000 from accounts receivable. h. Paid off $5,000 of the bank loan principal and $500 in interest. i. The owner reinvested $10,000 from personal savings into the business. 3. Adjustments needed at the end of July. a. The prepaid insurance needs to be adjusted for one month's worth of coverage. b. A physical count of the inventory revealed $25,500 worth of supplies remaining. c. The beginning balances in the Equipment account and the associated Accumulated Depreciation account refer to showroom fish tanks that were originally purchased at the beginning of July last year. The tanks have no salvage value and a useful life of two years. d. Interest accrued on the remaining bank loan for July is $400. e. The company provided $4,000 worth of services near the end of July, which haven't been billed to clients yet. Instructions: For the following set of account balances and transactions - REQUIRED: o Complete all journal entries for the transactions and adjustments foy July o Complete all journal entries to close out temporary accounts o Prepare a set of financial statements for the month of July(Statement of Cash Flows not required) - Remember to include all relevant dates appropriately - BONUS: o Calculate return on assets (ROA) o Prepare T accounts for each account o Prepare a Statement of Cash Flows using the indirect method