On August 1, 20Y9, 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, $1,850.
c.	Paid creditor on account, $1,150.
d.	Earned sales commissions, receiving cash, $43,000.
e.	Paid rent on office and equipment for the month, $2,900.
f.	Paid dividends, $3,100.
g.	Paid automobile expenses for month, $3,000, and miscellaneous expenses, $1,800.
h.	Paid office salaries, $3,900.
i.	Determined that the cost of supplies on hand was $850; therefore, the cost of supplies used was $1,000.

	Required:
1.	Indicate the effect of each transaction and the balances after each transaction, using the following tabular headings:

Assets

=

Liabilities

+

Stockholders Equity

Accounts

Common

Sales

Salaries

Rent

Auto

Supplies

Miscellaneous

Cash

+

Supplies

=

Payable

+

Stock

-

Dividends

+

Commissions

-

Expense

-

Expense

-

Expense

-

Expense

-

Expense

	2. a. Prepare an income statement for August.
	2. b. Prepare a statement of stockholders equity for August.
	2. c. Prepare a balance sheet as of August 31.