The following is a summary of transactions for January 20xx, gathered by the Sample Cafe bookkeeper.

Use the preceding transaction information to create a Cash-Based Income Statement for January using the following template.

Sample Cafe Transactions Item Notes 8,400 medium cups of coffee sold at $3.00 each Includes 500 medium cups medium cups sold to the college and delivered to a reception that has been invoiced, but not yet paid. 4,300 large cups of coffee sold at $4.00 each Espresso maker purchased last year for $12,000 5-year life $720 premium for business insurance Premium for full year $3,400 for rent Includes $2,000 in rent deposits. $2,400 for coffee beans Includes coffee discarded valued at $100 $1,700 for coffee cups O cups in inventory at the beginning of January. $800 worth of cups still in inventory at the end of month. $16,100 to employees for payroll $2,300 owed in payroll taxes $300 of interest on loan Paid mid-month $1,000 for electricity and water Includes $600 in utility deposits $12,000 in advertising $3,000 per week billed monthly Account Balance Revenues $ 0 Expenses Coffee and Cups $ 0 Salaries and Wages $ 0 Rent and Utilities $ 0. Advertising $ 0. Insurance $ 0 Equipment $ o Interest $ 0 Other Expenses $ 0 Total Expenses $ 0 Net Income $ 0