Part 2: Below is a fact scenario. Prepare a quarterly income statement for James Cook Lawn Service for the three months ending August 31, 2014 demonstrating that James earned quarterly income of $4,675. Assume the company will not be subject to income tax.During the summer between his junior and senior years, James Cook decided to try the lawn care business for three months. James bought a used pickup truck on June 1 for $1,320. He also spent $650 for mowers, trimmers, and tools. To acquire these items, he borrowed $2,520 cash by signing a note payable promising to pay the $2,520 plus interest of $70 at the end of the three months (ending August 31).A review of the check stubs showed the following: Bank deposits of collections from customers totaled $12,800. The following checks had been written: gas, oil, and lubrication, $1,090; pickup repairs, $360; mower repair, $190; miscellaneous supplies used, $80; helpers, $5,800; insurance, $155; cell phone, $140; and $2,590 to pay off the note including interest (on August 31). A notebook kept in the pickup, plus some unpaid bills, reflected that customers still owed him $720 for lawn services rendered and that he owed $190 for gas and oil (credit card charges). He estimated that the cost for use of the truck and the other equipment (called depreciation) for three months amounted to $770.