The following amounts summarize the financial position of Peavy Design on April 30, 2012. cash 1.720 Assets May a b accounts receivable 3.240 During May 2012, following events occurred. c d supplies land 24.100 Liabilities accounts payable 5.400 Owner's Equity capital stock 23.600 Received $12,000 and deposited the cash in the business bank account from the sale of capital stock. Paid off the beginning balance of accounts payable Performed service for a client and received cash of $1,100. Collected cash from a customer on account, $750. Purchased supplies on account, e $720. Consulted on the interior design of a major office building and billed the client for f services rendered,$5,000. retained earnings g Received $1,700 from the sale of capital stock. Paid cash expenses: office rent, $1,200; advertising, $660; h employees, $4,000. Sold supplies to another interior designer for $80 i cash. Required Analyze the effects of the preceding transactions on the accounting equation. Prepare the income statement of Peavy Design for the month ended May 31, 2012. Prepare the company's balance sheet at May 31, 2012.