On August 1, 2018, Brooke Kline established Western Realty. Brooke completed the following transactions during the month of August. A. Opened a business bank account with a deposit of $20,000 in exchange for common stock. B. Purchased office supplies on account, $1,800. C. Paid creditor on acqount, $1,350 D. Earned sales commissions, receiving cash, $40,000 E. Paid rent on office and equipment for the month, $3,300. F. Paid dividends, $3,600 G. Paid automobile expenses (including rental charge) for month, $3,050, and miscellaneous expenses, $1,600 H. Paid office salaries, $3,500 1. Determined that the cost of supplies on hand was $850, therefore, the cost of supplies used was $950. doc . 2. a. Prepare an income statement for August. If a net loss has been incurred, enter that amount as a negative number using a minus sign. Refer to the list of Labels, Accounts and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. You will not need to enter colons() on the income statement 2. b. Prepare a retained earnings statement for August. Refer to the list of Labels, Accounts and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. If a net loss is incurred or dividends were paid, enter that amount as a negative number using a minus sign. The word "Less" or "Add" is not needed in the Retained Earnings Statement. I an amount is zero, enter 2. c. Prepare a balance sheet as of August 31. Refer to the list of Labels, Accounts and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading Labels Expenses For the Month Ended August 31, 2018 August 31, 2018 Accounts Accounts payable Auto expense Cash Common stock Dividends Miscellaneous expense Rent expense Retained earnings Salaries expense Sales commissions Supplies Supplies expense Amount Descriptions Change in retained earnings Net income Net loss Retained earnings, August 1, 2018 Retained earnings, August 31, 2018 Amount Descriptions Change in retained earnings Net income Net loss Retained earnings, August 1, 2018 Retained earnings, August 31, 2018 Total assets Total expenses Total liabilities and stockholders' equity Total stockholders' equity