Problem 1.2 (Transactions) Amy Austin established an insurance agency on March 1 of the current year and completed the following transactions during March: a. Opened a business bank account with a deposit of $50,000 from personal funds. b. Purchased supplies on account, $4,000. c. Paid creditors on account, $2,300. d. Received cash from fees earned on insurance commissions, $13,800. e. Paid rent on office and equipment for the month, $5,000. f. Paid automobile expenses for the month, $1,150, and miscellaneous expenses, $300. g. Paid office salaries, $2,500. h. Determined that the cost of supplies on hand was $2,700; therefore, the cost of supplies used was $1,300. i. Billed insurance companies for sales commissions earned, $12,500. j. Withdrew cash for personal use, $3,900. INSTRUCTIONS 1. Indicate the effect of each transaction and the balances after each transaction, using the following tabular headings: L. Vetermine the net income tor March 3. How much did March's transactions increase or decrease Amy Austin capital? Please use MS Excel or MS Word to create your file. Problem 1.3 (Financial Statements) The amounts of the assets and liabilities of Wilderness Travel Service on April 30, 2021, the end of the year, and its revenue and expenses for the year are provided below. The capital of Harper Borg, the owner, was $180,000 on May 1, 2020, the beginning of the year, and the owner withdrew $40,000 during the year. INSTRUCTIONS 1. Prepare an income statement for the year ended April 30, 2021. 2. Prepare a statement of owner's equity for the year ended April 30, 2021. 3. Prepare a balance sheet as of April 30, 2021. 4. What appears on both the income statement and statement of owner's equity Please use the attached MS Excel template to create your answers The following selected transactions were completed by Silverado Delivery Service during February: 1. Received cash from the owner as an additional investment, $25,000. 2. Purchased supplies for cash, $750. 3. Paid rent for February, $3,000. 4. Paid advertising expense, $1,500. 5. Received cash for providing delivery services, $16,800. 6 . Billed customers for delivery services on account, $32,500. 7. Paid creditors on account, $1,400. 8. Received cash from customers on account, $23,770. 9. Determined that the cost of supplies on hand was $275 and $475 of supplies had been used during the month. 10. Paid cash to the owner for personal use, $5,000. INSTRUCTIONS Indicate the effect of each transaction on the accounting equation by listing the numbers identifying the transactions, (1) through (10), in a column and inserting at the right of each number the appropriate letter from the following list: a. Increase in an asset, decrease in another asset. b. Increase in an asset, increase in a liability. c. Increase in an asset, increase in owner's equity. d. Decrease in an asset, decrease in a liability. e. Decrease in an asset, decrease in owner's equity