Coles is a non-financial company operating a supermarket chain in Australia.

During the week under review, Coles paid its employees $3 million (transaction 1), recorded $10 million in income from its sales in its supermarkets (transaction 2) and bought commercial paper for $2 million (transaction 3).

Illustrate the changes in Coles balance sheet over the week. [Use one and only one balance sheet to represent all three transactions together.] Explain the effect of each transaction on the size of the balance sheet.