[The following information applies to the questions displayed below.]

Kaylee James, a connoisseur of fine chocolate, opened Kaylee's Sweets in Collegetown on February 1. The shop specializes in a selection of gourmet chocolate candies and a line of gourmet ice cream. You have been hired as manager. Your duties include maintaining the store's financial records. The following transactions occurred in February, the first month of operations.

1. Received four shareholders' contributions totaling $28,100 cash to form the corporation; issued 300 shares of $0.10 par value common stock.

2. Paid three months' rent for the store at $1,840 per month (recorded as prepaid expenses).

3. Purchased and received candy for $5,800 on account, due in 60 days.

4. Purchased supplies for $1,330 cash.

5. Negotiated and signed a two-year $18,000 loan at the bank, receiving cash at the time.

6. Used the money from (e) to purchase a computer for $3,300 (for recordkeeping and inventory tracking); used the balance for furniture and fixtures for the store.

7. Placed a grand opening advertisement in the local paper for $460 cash; the ad ran in the current month.

8. Made sales on Valentine's Day totaling $3,600; $2,715 was in cash and the rest on accounts receivable. The cost of the candy sold was $1,800.

9. Made a $580 payment on accounts payable.

10. Incurred and paid employee wages of $1,100.

11. Collected accounts receivable of $120 from customers.

12. Made a repair to one of the display cases for $105 cash.

13. Made cash sales of $2,900 during the rest of the month. The cost of the candy sold was $1,710.

Required:

1 & 2. Record in the T-accounts the effects of each transaction for Kaylees Sweets in February, referencing each transaction in the accounts with the transaction letter. Show the ending balances in the T-accounts. An example amount has been posted to the Cash T-Account from transaction (l).

3. Prepare an income statement at the end of the first month of operations ended February 28

Thank you so much in advance!! I appreciate it

Required: 1 & 2. Record in the T-accounts the effects of each transaction for Kaylee's Sweets in February, referencing each transaction in the accounts with the transaction letter. Show the ending balances in the T-accounts. An example amount has been posted to the Cash T-Account from transaction (1). Answer is not complete. Cash Accounts Receivable Beg. bal. Beg. bal. (h) 885 120 (k) (e) (h) 28,100 18,000 2,715 1,840 X (b) 1,330 (d) 3,300 X (1) End. bal. 765 120 2,900 (m) 460 (g) 580 (0) 105 (0) End. bal. 44,220 Supplies Inventory Beg. bal. Beg. bal. (c) (d) 1,330 5,800 1,800(h) 1,710 m) End. bal. 1,330 End. bal. 2.290 Prepaid Expenses Equipment Beg. bal. Beg. bal. (f) 3,300 End. bal. 0 End. bal. 3,300 Furniture and Fixtures Accounts Payable Beg. bal. Beg. bal. (c) (1) 14,700 X 5,800 X 580 X 0) X End. bal. 14,700 End. bal. 5,220 Notes Payable Common Stock Beg. bal. (e) Beg. bal. (a) x 18,000 x 30 X End. bal. 18,000 End. bal. 30 Additional Paid-in Capital Sales Revenue Beg. bal. (a) x 28,070 2,715 X Beg. bal. (h) (h) (m) End. bal. 885 X x 2,900 X 6,500 End. bal. 28,070 Cost of Goods Sold Repair Expense Beg. bal. Beg. bal. (h) (m) 1,800 (1) 105 1,710 End. bal. 105 End. bal. 3,510 Advertising Expense Wage Expense Beg. bal. Beg. bal. (g) 460 (i) 1,100 End. bal. 460 End. bal. 1,100 3. Prepare an income statement at the end of the first month of operations ended February 28. X Answer is not complete. KAYLEE'S SWEETS Income Statement (unadjusted) For the Month Ended February 28 Revenues 0