Problem 6: Jill Smith opens an apartment-locater business near a college campus. She is the sole owner of the proprietorship which she names Campus Apartment Locators. On 01/07/2007, at the beginning of July 2007, she opened a nevw business. During the first month of operations, July of 2007, she engages in the following transactions, i. Smith takes a loan of $35,000 to start the business. ii. She purchases on account office supplies costing $350. ii. Smith pays $30,000 to acquire a lot next to the campus. She intends to use the land as a future building site for her business office. iv. Smith locates apartments for clients and receives $1,900 v. She pays $100 to accounts payable she created in transaction ii. vi. She pays cash expenses for office rent, $400, and utilities, S100. vii. She withdraws cash of $1,200 for personal use. a) What is the balance sheet for July 2007? b) What is the net income for July 2007? Problem 7: A small dam is being planned for a river tributary that is subject to frequent flooding. From past experience, the probabilities that water flow will exceed the design capacity of the dam during a year, plus relevant cost information, are as follows