P2-8 Analyzing the Effects of Transactions Using T-Accounts, Preparing a Statement of Financial Position, and Interpreting the Current Ratio over Time as a Bank Loan Officer LO2-5, 2-6 Lee Delivery Company was organized at the beginning of 2020. The following transactions occurred during 2020 (the company's first year of operations): a. Received $50,000 cash from the organizers in exchange for shares in the new company. b. Purchased land for $18,000 and signed a one-year note (at a 6 percent annual interest rate). c. Bought two used delivery trucks for operating purposes at the start of the year at a cost of $14,000 each; paid $7,000 cash and signed a promissory note for the balance, payable over the next three years (at an annual interest rate of 7 percent). d. Sold one-fourth of the land for $4,500 to Birkins Moving, which promised to pay in six months. e. Paid $4,000 cash to a truck repair shop for a new motor for one of the trucks. (Hint: Increase the account you used to record the purchase of the trucks since the usefulness of the truck has been improved.) f. Traded the other truck and $8,000 cash for a new one. The old truck's fair value is $14,000. g. Shareholder Jonah Lee paid $29,500 cash for a vacant lot (land) for his personal use. h. Collected the amount of the note due from Birkins Moving in (d). L. Paid one-third of the principal of the note due for the delivery trucks in (c). Required: 1. Post the above transactions into the appropriate T-accounts, beginning balances is $0 for all accounts. Beg. bal. End. bal Cash 0 Short-Term Notes Receivable Beg. bal. 0 End. bal. Land Equipment