Required information [The following information applies to the questions displayed below.] Francine's Fast Deliveries, Inc. (FFD) was organized in December of 2011. It had limited activity in 2011. The resulting balance sheet at the beginning of 2012 is provided below: Francine's Fast Deliveries, Inc. Balance Sheet at January 1, 2012 Liabilities: Assets: Cash Accounts Receivable Supplies $ 1,175 Accounts Payable $ 865 650 Stockholders' Equity: 500 Common Stock Retained Earnings $1,000 460 Total Assets $2,325 Total Liabilities & Stk. Equity $2,325 January Transactions for Francine's Fast Deliveries, Inc. (FFD) Date 1 Owners invest $22,000 of additional cash in the business. 2a Supplies are purchased for $750 on account. 2b Insurance is paid for 12 months beginning January 1: $6,780 (Record as an asset) 2c Rent is paid for 3 months beginning in January: $3,150 (Record as an asset) 2d Two employees are hired. Each employee will be paid $1,150 per month 3 FFD borrows $25,000 from 1st State Bank at 6% annual interest. A delivery van is purchased for cash. Including tax the total cost was $38,400. It 6 will be used for 4 years and will be depreciated monthly using straight-line with no salvage value. A full month of depreciation will be charged in January.