Please Solve the required financial statements please! Thank you!

Music on Wheels You have started your second year of the BCom at York University and decided to start your own business with your passion: be a DJ in parties. A family friend that works as a lending officer in one of Canada's largest banks explained to you how the business plan has to be presented so you can get some financing. On January 1st you set up a company-Music on Wheels Ltd with a capital of 50,000 shares at $1 each. A lawyer produced all the needed paperwork. On the same day, you submitted the business plan to the bank and was successfully granted a start up loan of $38,750, you deposited $23,250 of your personal savings and start up loan of $38,750 in the newly opened chequing account of your company. On January 1st you transfers ownership of your van to the company. The van has a fair market value of $7,750 and is estimated to last for 50 months and then discarded. On January 1st you purchase music equipment for $27,900 and $930 worth of music files from the same shop. Half was paid in cash, and the remaining half is paid on Feb 15th. The music equipment wil be used for 60 months with no resale value at the end, while the music files are expensed immediately. On January 1st you sign the insurance contract for the van and the music equipment. The insurance premium for the van is $3,720 per year and for the equipment is $1,860 per year with payment at a latter date. On January 1st you rented a warehouse to store musical equipment for one year, starting on that day and paid $9,300 in advance. Performed service as the DJ of a fundraing event of a large international charity on Jan 10th. Got a cheque of $3,100 for your service and $4,650 on account to be collected on Jan 31st On January 14th paid a local radio 90 days (16 days in January, 28 days in February, 31 days in March and 15 days in April) of advertising for $1,395 starting on January 16th. And on the same day, paid $1,395 of insurance for the months from January to March (whole month coverage for January, February, and March). On January 17th, provided the music for three small events. One promised to pay the $1,240 on Feb 7th, the other will pay the $1,240 by the end of January, while the third event of $1,550 will be paid on March 2nd. On January 19th, hired a car painter to freshen up the look of the van (this will not change the value or the useful life of the van). The work is completed by Jan 21st Paid $310 on Jan 19th, and paid $775 on Feb 19th, and the rest $620 on March 19th On January 20th, collected and paid for 800 pieces of nicely designed brochures. Total Cost $1,240. Distributed 150 brochures in January, 250 brochures in February, and 300 brochures in March. On January 23rd, two envents were served. Provided services in a morning event at local church and collected $930 for your service. And one big event was serviced in the afternoon, the bill of $6,200 was paid 50% before the beginning of the event and the rest will be paid in 30 days. On January 28th, received the bill from the lawyer that helped you to set up the company for $2,325 payable by Feb 15th. (Hint: treat this as an asset). You have paid the bill on time. On January 29th, received a deposit of $2,790 for servicing a fund raising event in February, and received a deposit of $4,650 for servicing a wedding in March. On January 31st, collect $4,650 from the event on January 10th and got a phone call indicating the $1,240 owed for the January 17th event will be paid sometime in February. Bank changes monthly service fee of $155, and in addition, bank charges 6% per year for interest on start up loan, both fees will be automatically deducted from chequing account at the end of each month. Declared dividends to yourself of $100 per 1,000 shares on January 31st, all dividends declared in the current month will be paid in the next month. Required: 1. Prepare the statement of proof of cash by January 31st 2. Prepare the Income Statement (accrual accounting) for the Month of January. 3. Prepare the Balance Sheet (accrual accounting) as of January 31st

Question

Please Solve the required financial statements please! Thank you!

image text in transcribed

Music on Wheels You have started your second year of the BCom at York University and decided to start your own business with your passion: be a DJ in parties. A family friend that works as a lending officer in one of Canada's largest banks explained to you how the business plan has to be presented so you can get some financing. On January 1st you set up a company-Music on Wheels Ltd with a capital of 50,000 shares at $1 each. A lawyer produced all the needed paperwork. On the same day, you submitted the business plan to the bank and was successfully granted a start up loan of $38,750, you deposited $23,250 of your personal savings and start up loan of $38,750 in the newly opened chequing account of your company. On January 1st you transfers ownership of your van to the company. The van has a fair market value of $7,750 and is estimated to last for 50 months and then discarded. On January 1st you purchase music equipment for $27,900 and $930 worth of music files from the same shop. Half was paid in cash, and the remaining half is paid on Feb 15th. The music equipment wil be used for 60 months with no resale value at the end, while the music files are expensed immediately. On January 1st you sign the insurance contract for the van and the music equipment. The insurance premium for the van is $3,720 per year and for the equipment is $1,860 per year with payment at a latter date. On January 1st you rented a warehouse to store musical equipment for one year, starting on that day and paid $9,300 in advance. Performed service as the DJ of a fundraing event of a large international charity on Jan 10th. Got a cheque of $3,100 for your service and $4,650 on account to be collected on Jan 31st On January 14th paid a local radio 90 days (16 days in January, 28 days in February, 31 days in March and 15 days in April) of advertising for $1,395 starting on January 16th. And on the same day, paid $1,395 of insurance for the months from January to March (whole month coverage for January, February, and March). On January 17th, provided the music for three small events. One promised to pay the $1,240 on Feb 7th, the other will pay the $1,240 by the end of January, while the third event of $1,550 will be paid on March 2nd. On January 19th, hired a car painter to freshen up the look of the van (this will not change the value or the useful life of the van). The work is completed by Jan 21st Paid $310 on Jan 19th, and paid $775 on Feb 19th, and the rest $620 on March 19th On January 20th, collected and paid for 800 pieces of nicely designed brochures. Total Cost $1,240. Distributed 150 brochures in January, 250 brochures in February, and 300 brochures in March. On January 23rd, two envents were served. Provided services in a morning event at local church and collected $930 for your service. And one big event was serviced in the afternoon, the bill of $6,200 was paid 50% before the beginning of the event and the rest will be paid in 30 days. On January 28th, received the bill from the lawyer that helped you to set up the company for $2,325 payable by Feb 15th. (Hint: treat this as an asset). You have paid the bill on time. On January 29th, received a deposit of $2,790 for servicing a fund raising event in February, and received a deposit of $4,650 for servicing a wedding in March. On January 31st, collect $4,650 from the event on January 10th and got a phone call indicating the $1,240 owed for the January 17th event will be paid sometime in February. Bank changes monthly service fee of $155, and in addition, bank charges 6% per year for interest on start up loan, both fees will be automatically deducted from chequing account at the end of each month. Declared dividends to yourself of $100 per 1,000 shares on January 31st, all dividends declared in the current month will be paid in the next month. Required: 1. Prepare the statement of proof of cash by January 31st 2. Prepare the Income Statement (accrual accounting) for the Month of January. 3. Prepare the Balance Sheet (accrual accounting) as of January 31st