Jack Roberts formed a lawn service business, Roberts Lawn Service, as a summer job. To

start the business on May $1,$ he deposited $$1,000$ in a new bank account in the name of

the proprietorship. The $$1,000$ consisted of a $$600$ loan from his father and $$400$ of his

own money, so Jack invested $$400$ of capital in the business.

Jack rented lawn equipment, purchased supplies, and hired high school students to mow

and trim his customer's lawns.

At the end of each month, Jack mailed bills to his customers. On August $31,$ he was ready

to dissolve the business and return to university for the fall semester. Because he had

been so busy, he had kept few records other than his chequebook and a list of amounts

owed to him by customers.

At August $31,$ Jack's chequebook shows a balance of $$2,000,$ and his customers still owe

him $$750.$ During the summer, he collected $$5,500$ from customers. His chequebook lists

payments for supplies totalling $$400,$ and he still has gasoline, weed$-$eater cord, and other

supplies that cost a total of $$50.$ He paid his employees $$1,800,$ and he still owes them

$$300$ for the final week of the summer.

Jack rented some equipment from Ludwig Tool Ltd$.$ On May $1,$ the business signed a six$-$

month lease on mowers and paid $$600$ for the full lease period. Ludwig will refund the

unused portion of the prepayment if the equipment is in good shape. In order to get the

refund, Jack has kept the mowers in excellent condition. In fact, he had to pay $$300$ to

repair a mower that ran over a hidden tree stump.

To transport employees and equipment to jobs, Jack used a trailer that the business

bought for $$300.$ He figures that the summer's work used up one$-$third of the trailer's

service potential. The business chequebook lists an expenditure of $$500$ for cash

withdrawals by Jack during the summer. Jack paid his father back during August.

Prepare all of the Journal entries to record each transaction in a chronological order

of when they happened.

Prepare the closing entries to zero out the temporary accounts for the year

$($Revenue$,$ Expenses, Drawing$/$Dividends$)$

Prepare the income statement and the statement of owner's equity of Roberts Lawn

Service for the four months May through August.

Prepare the classified balance sheet of Roberts Lawn Service at August $31.$

Was Jack's summer work successful? Give the reason for your answer.