Question 4 of 9 3.5/7 E View Policies Show Attempt History Current Attempt in Progress 1. 2. On January 1, 2020, Norma Smith and Grant Wood formed a computer sales and service company in Soapsville, Arkansas, by investing $91,316 cash. The new company, Sheffield Sales and Service, has the following transactions during January Pays $12,000 in advance for 3 months' rent of office, showroom, and repair space. Purchases 42 personal computers at a cost of $1,664 each, 8 graphics computers at a cost of $2,664 each, and 27 printers at a cost of $464 each paying cash upon delivery. Sales, repair, and office employees earn $13,916 in salaries and wages during January, of which $4,316 was still payable at the end of January Sells 32 personal computers at $2,714 each, 6 graphics computers for $3,764 each, and 17 printers for $664 each; $76,316 is received in cash in January, and $44,404 is sold on a deferred payment basis. Other operating expenses of $9,716 are incurred and paid for during January: $3,316 of incurred expenses are payable at January 31. 3. 4. 5. (a) Your answer is correct. Question 4 of 9 > 3.5/7 SHEFFIELD SALES AND SERVICE Balance Sheet For the Month Ended January 31, 2020 (1) Cash Basis (2) Accrual Basis Assets Cash $ 32588 $ 32588 Accounts Receivable Inventory Prepaid Rent Total Assets $ $ Liabilities and Owners' Equity Accounts Payable $ $ Salaries and Wages Payable Owner's Capital Total Liabilities and Owner's Equity $ $ MacBook