Q2. Secure Storage Services was formed on 1 May 2020. The following transactions took place during the first month. (30 Marks) Transactions on 1 May: 1. Paul Taylor invested $60,000 cash in the business, as its sole owner. 2. Hired two employees to work in the warehouse. They will each be paid a salary of $1,000 per month. 3. Signed a 2-year rental agreement on a warehouse; paid $18,000 cash in advance for the first year. 4. Purchased furniture and equipment costing $35,000. A cash payment of $10,000 was made immediately; the remainder will be paid in 6 months. 5. Paid $1,500 cash for a 1-year insurance policy on the furniture and equipment Transactions during the remainder of the month: 6. Purchased basic office supplies for $500 cash. 7. Purchased more office supplies for $1,500 on account. 8. Total revenue earned was $15,000 - $5,000 cash and $10,000 on account. 9. Paid $400 to suppliers for accounts payable due. 10. Received $2,500 from customers in payment of accounts receivable. 11. Received utility bills in the amount of $200, to be paid next month. 12. Paid the monthly salaries of the two employees, totaling $2,000. Required (a) Prepare journal entries to record each of the events listed. (5 Marks) (b) Post the journal entries to T accounts. (5 Marks) (c) Prepare a trial balance as at 31 May 2020. (10 Marks) (d) Prepare an income statement and a statement of equity for Secure Storage Services for the month ended 31 May 2020, and a statement of financial position as at 31 May 2020. (10 Marks)