The following accounting events apply to Mary's Designs for Year 1 : Asset Source Transactions 1. Began operations by acquiring $20,000 of cash from the issue of common stock. 2. Performed services and collected cash of $550. 3. Collected 34,300 of cash in advance for services to be provided over the next 12 months. 4. Provided $11,300 of services on account. 5. Purchased supplies of $370 on account. Asset Exchange Transectlons 6. Purchased $5,000 of land for cash. 7. Collected $7,600 of cash from accounts receivable 8. Purchased $420 of supplies with cash. Q. Paid $3.700 for one year's rent in advance. Asset Use Transaculens 10. Paid $2,900 cash for salaries of employees. 11. Paid a cash dividend of $2,500 to the stockholders. 12. Paid off $370 of the accounts payable with cash. Claims Exchange Transectlons 13. Placed an advertisement in the local newspaper for $150 on account. 14. Incurred utility expense of $130 on account. Adlusting Entries 15. Recognized $3,225 of revenue for performing services. The collection of cash for these services occurred in a prior transaction. (See Event 3.) 16. Recorded $1,400 of accrued salary expense at the end of Year 1 . 17. Recorded supplies expense. Had $105 of supplies on hand at the end of the accounting period. 18. Recognized three months of expense for prepaid rent that had been used up during the accourting period. Required a. Record each of the preceding events in T-accounts. b. Prepare a before-closing trial balance. c. Use a horizontal statements model to show how each event affects the balance sheet, income statement, and statement of cash flows. The first event is recorded as an example, (Use + to Indlcate Increase, for decrease, or +1 for Increase and decrease. In the Statement of Cash Flows column, Indlcote whether the ftem is an operating actlvity (OA), Investing actlivity (IA), or financing ectlvity (FA). Not all cells requlre input.)