QUESTION 1 The following is a summary of transactions for January 20xx, gathered by the Sample Cafe bookkeeper. Sample Cafe Transactions Item 7,600 medium cups of coffee sold at $3.00 each 4,100 large cups of coffee sold at $4.00 each Espresso maker purchased last year for $12,000 $720 premium for business insurance $3,400 for rent $2,200 for coffee beans $1,600 for coffee cups $14,100 to employees for payroll $100 of interest on loan $1,100 for electricity and water $12,000 in advertising Notes Includes 400 medium cups medium cups sold to the college and delivered to a reception that has been invoiced, but not yet paid. 5-year life Premium for full year Includes $2,000 in rent deposits. Includes coffee discarded valued at $100 0 cups in inventory at the beginning of January. $600 worth of cups still in inventory at the end of month. $2,500 owed in payroll taxes Paid mid-month Includes $500 in utility deposits $3,000 per week billed monthly