With respect to the current accounting period, show the effect of the following transactions on net profit andcash for the period.1Purchase inventory on cash for $40 000.2Recording depreciation of $10 000.3Credit sale of a service for $30 000.4Payment of a cash dividend of $8000.5Payment of salary for the current period of $20 000.6Interest payment on a loan of $7000.7Repayment of a loan of $100 000.8Payment of an invoice for advertising of $13 000 that had been recorded as an expense in the previousperiod.