1. Prepare a balance sheet and income statement as a result of the following transactions:

1. Owner deposit of $2000 to open a bank account
2. Owner deposits and additional $500 in the bank account to increase his/her equity
3. Purchase a used hand truck for $600, paid immediately
4. Bought insurance for the truck. Insurance cost is $40 for the month; paid first month
5. Placed a newspaper ad for $25, paid.
6. Purchased ladders for $300, paid
7. Completed first job and was paid $2700 in cash
8. Purchased $200 in supplies, paid
1. Rented a sprayer for $40, paid
10. Received $120 for completed job
11. Received a bill of $15 for telephone, pay in 30 days
50. Bought gasoline for $30, paid cashbalance