Prepare the following financial statements using the information provided: 1. Accounting Equation Chart: Accounting Equation 2. Balance Sheet: Balance Sheet B 3. Income Statement: Income Statement B 4. Statement of Cash Flows: Cash Flow Statement B Starting Balances: Cash $2,500; Supplies $200; Prepaid Insurance $100; Accounts Payable $1,300; Capital stock $1,500 Transactions: 1. Paid cash for rent, $500. 2. Received cash from the owner as an investment, $700. 3. Paid cash for telephone bill, $75. 4. Received cash from sales, $1,050. 5. Bought supplies on account from Paws and Claws, $275. 6. Sold services on account to Dr. Shephard, $285. 7. Paid cash for advertising, $450. 8. Paid cash for supplies, $185. 9. Received cash on account from Dr. Shephard, $150. 10. Paid cash on account to Paws and Claws, $200. 11. Paid cash for insurance, $100. 12. Received cash from sales, $475. 13. The owner withdrew cash for personal use, $800.