Jock O'Donoghue has recently started Jock's Tool Supplies, a retailer of tools and other supplies to the heavy haulage and earth moving industry. The following transactions have occurred in the first month of the business' operations:

Jan 4 Jock commenced business by contributing cash of $4 000, inventory of $15 000, furniture of $1 500, a building $68 000 and a mortgage on the building of $40 000.

4 Purchased a computer on credit for $3 000.

6 Sold inventory for cash of $2 200. The cost price of the inventory was $1 075.

8 Purchased inventory on credit for $8 000.

9 Paid cash of $400 for the telephone calls for the month.

13 Jock took $150 cash and $50 of inventory for his own personal use.

17 Sold tools on credit to a local logging contractor for $5 600. These tools originally cost $540.

18 Paid $2 000 to creditors towards the amount owing.

22 Paid light and power of $250 by cash.

25 The business repaid $1 000 of the mortgage.

27 Paid interest on the mortgage of $100.

28 Another business is renting a small part of the building as office space. The paid $500 for January's rent.

28 Purchased some tools for resale from a local manufacturer. They cost $700 and the manufacturer was paid in cash.

Required

Complete a worksheet for the month of January using the above data and prepare an income statement and balance sheet at 31st January 2018.