Question 2: (6 marks) 1- Arab Delivery Service, Inc, completed the following transactions during January, 2019: Shareholders invested in the business $30,000 cash and a delivery truck valued at $36,000 in exchange for common stock. Purchased supplies for $1,500 cash. Paid $2,750 for a one-year insurance policy, effective January 1. Performed delivery services for a customer and received $2,000 cash Completed a large delivery job for a customer on account for $7,500. Paid $5,000 for employee salaries Performed delivery services for customers and received $55,000 cash. Collected $2,500 in advance for delivery service to be performed later. Collected $3,500 cash from a customer on account. Purchased fuel for the truck, paying $1,800 with a company credit card (Credit accounts payable) Performed delivery services on account, $4,750. Paid office rent $1,200. Paid $1,000 for accounts payable. Paid cash dividends of $9,000. Requirements: Record each transaction in the journal. Key each transaction by its letter (Explanations are not required). [3.5 marks] 2- On August 1, Youssef established Wolf Company that provides driving lessons, by investing $90,000 cash in the business. Following are the assets and liabilities of the company on August 31. 2019, and the revenues and expenses for the month of August. Cash $ 11,200- Notes Payable $60,000 -Accounts Receivable 14,400-Rent Expense 2,400 - Equipment 128,000- Repair Expense 800-Lesson Revenue 15,000 -Fuel Expense 5,000 - Advertising Expense 1,000- Insurance Expense 800. Accounts Payable 1,600 Youssef did not make any other investment in August, but he withdrew $3,000 in cash for personal use. Required Prepare income statement for the month ended August 31, 2019. (1 marks)