Required information C3-1 (Algo) Analyzing. Recording. and Posting. and Preparing and Evaluating Financlal Statements (Chapters 1-3) [LO 3-2, LO 3-3, LO 3-4, LO 3-5] [The following informotion opplies to the questions disployed below]] Vanishing Gomes Corporation (VGC) operates a massively multiplayer online game, cherging ployers a monthly subscription of $13. At the stort of Jonusry 2021, VGC's income statement occounts had zero balances and its bolance sheet account bolonces were as follows: In sodition to the above sccounts, VGC's chart of occounts includes the following: Service Revenue, Salories and Woges Expense, Advertising Expense, and Utilities Expense. The following trenssctions occurred during the Jenusry month: a. Received $71,750 cash from customers on 1/1 for subscriptions that had alresdy been earned and charged on account in 2020 b. Purchssed 10 new computer servers for $40,800 on 1/2; poid $15,600 cash and signed t three-year note for the remainder owed. c. Poid $15,100 for an Intemet advertisement run on 1/3. d. On Jonusry 4 , purchased and received $4,500 of supplies on account. e. Received $220,000 cosh on 1/5 from customers for service revenue earned in Jonusry. f On January 6 , paid $4,500 cash for supplies purchased on January 4. g. On January 7 , sold 13,800 subscriptions st $13 each for services provided during Jonuory. Half was collected in cash and half was sold on sccount. h. Paid $370,000 in woges to employees on 1/30 for work done in Jenuary. i. On January 31, received an electric and gas utility bill for $5,750 for January utility services. The bill will be poid in February. 1. Anslyze the effect of the January transactions on the accounting equation, and indicate the sccount, amount, and direction of the effect of esch tronsaction. (Enter any decreases to Assets, Llabilities, and Stockholder's Equity with a mInus sign.) 2. Prepere joumbl entries for the Jonuery tronsactions. (If no entry is required for a transaction/event, select "No Journal Ent Required" in the first account field.) 2 4. Prepare an unadjusted trial balance as of January 31, 2021. 5. Prepare an Income Statement for the month ended January 31,2021 , using unadjusted balances from part 4. 6. Prepare a Statement of Retained Earnings for the month ended January 31,2021 , using the beginning balance given above and the net income from part 5. Assume VGC has no dividends, but include a line in the statement of retained earnings reporting Dividends of zero. 7. Prepare a classified Balance Sheet at January 31, 2021, using your response to part 6