During January 2020, the company had the following transactions: Example: Made payments of $4,000 on outstanding accounts payable 1. Sold $2,000 of inventory to customers for $3,000 in cash. 2. Purchased $2,500 of new inventory for cash 3. Sold $3,500 of inventory to customers on account for $5,500. 4. During the month, received $3,500 from customers as payments on their accounts 5. Borrowed $20,000 from the bank and issued stock for $5,000 to purchase land for $25,000 for a future warehouse 6. Paid employees $2,000 for payroll Required: 1. Record the January 2020 transactions by adding and subtracting amounts in the rows of the following table in a way that the row totals represent the end of the month balances in the financial statements. (fill in the shaded area as needed) 2. Explain the main characteristics of the balance sheet and the income statement and the relationship between those two statements. Transaction Number Balance at 12/31/19 Example 1 2 3 4 5 6 Total $ 5,000 (4,000) S 1,000 6,000 6,000 Cash Receivables Inventory Land Property Plant and Equipment Total Assets 15,000 $ 26,000 15,000 $ 22.000 S 6,000 (4,000) $ 2,000 Accounts Payable Note Payable Common Stock Retained Earnings Total Liabilities and Equity 20,000 20,000 $ 26,000 $ 22,000 Check (must equal zero) $ Income Statement Sales Cost of Goods Sold Payroll expenses Net Income S