Felino Montemayor started a retail business on January 02, 2018 with a cash investment of P92,000. The books of accounts of the business are regular kept under the double-entry bookkeeping system. The balance sheet of the Felino Montemayor as of December 31, 2019 shows: Assets Cash 23,500 Accounts receivable 34,000 Merchandise inventory 30,000 Prepaid operating expenses 8,400 Furniture and equipment 57,000 Less: Allowance for depreciation 11,400 45,600 Total Assets 141,500 Liabilities and Capital Accounts payable 18,600 Notes payable (non-trade) 40,000 Accrued operating expenses 2,100 Accrued interest expense 800 Felino Montemayor, Capital 80,000 Total Liabilities and Capital 141,500 On the morning of February 01, 2020, the store of Felino Montemayor was partially burned and some of this assets and records were lost. For the purpose of determining the loss he incurred during the fire, he asked you to prepare a balance sheet as of January 31, 2020 and an income statement for the month then ended. An analysis of the various records revealed the transactions from January 01 to 31: Receipts: Payments Cash sales P 24,600 Cash purchases P 15,000 Accounts receivable 47,500 Accounts payable 32, 100 Loan taken on January 15 60,000 Loan settlement 50,000 Operating expenses 18,600 Personal withdrawals 20,000 Interest expense 1,700 An examination of the available records and inspection of the documents showed that the assets and liabilities of Felino Montemayor as of January 31 are: Cash Accounts receivable 46,000 Merchandise inventory 35,000 Prepaid operating expenses 5,600 Furniture and equipment (net) 42,600 Accounts payable 16.700 Notes payable (others) 50,000 Accrued operating expenses 1,800 Accrued interest expense 100 Further investigation revealed that P400 of the accounts receivable was written off on January 27, 2020. Other that the original purchase, there was no other acquisition nor disposal of fixed assets in January. Requirements: 1. Income statement for the period from January 01 to 31, 2020. Prepare schedules to show all computations. 2. Balance sheet as of January 31, 2020