Exercise #2 On February 28, the balance sheet of Simmon's Pet Clinic included Cash $9,000, Accounts Receivable $1,700, Supplies $600, Equipment $6,000, Accounts Payable $3,600, Common Stock $13,000, and Retained Earnings $700. During March, the following transacitons occurred: 1. Made a $1,300 cash payment on accounts payable. 2. Collected $1.200 cash on accounts receivable. 3. Purchased equipment for $3,500, paying $1,400 cash and the remainder on account. 4. Performed $6,700 of services for customers-received $3,100 in cash and billed customers for the remainder. 5. Declared and paid a $600 cash dividend. 6. Paid employees $1,900 in salaries for March. 7. Paid $1,200 rent for March. 8. Paid $500 of advertising costs for March. 9. Received but did not pay the March utility bill $220. 10. Borrowed $8,000 from State Bank, signing a promissory note payable. Instructions (a) Prepare a tabular analysis of the March transactions in the workpaper. (b) Prepare an income statement and statement of retained earnings for the month of March, and a balance sheet for March 31. (a) Simmon's Pet Clinic Liabilities Assets Accounts Receivable 1,700 Stockholders' Equity Retained Earnings Retained Earnings Revenues Expenses 700 0 0 Paid-in Capital Common Stock + 13,000 Notes Payable + Accounts Payable 3,600 Cash + 9,000 Supplies + 600 + Equipment 6,000 0 Bal 1. Bal 2. Bal 3. Bal Dividends Declared O Bal 1. Bal 2. Bal 3. Bal Bal 5. Bal 6. Bal 7. Bal 8. Bal 9. Bal 10. Bal Bal 5. Bal 6. Bal 7. Bal 8. Bal 9. Bal 10. Bal Total Liabilities Total Stockholders' Equity EL Total Arrate- Total TibilRand Stoholdareita (b) Simmon's Pet Clinic Income Statement For the Month Ending on March 31 Revenues: Expenses (list): Total Expenses Net Income Simmon's Pet Clinic Statement of Retained Earnings For the Month Ending on March 1 Beginning Retained Earnings, March 1 Plus: Net Income sub-total Less: Dividends Declared Ending Retained Earnings, March 31 Simmon's Pet Clinic Balance Sheet March 31 Liabilities (list) Assets (List) Total Liabilities Total Assets Stockholders' Equity (list) Total Stockholders' Equity Total Liabilities and Stockholders' Equity