Jill Jones has just established a security alarm maintenance service. She charges $20 per hour per person and is paid by check upon completion of the job. Her expenses are rather low—usually only supplies and transportation. Following are the entries to the accounting system that were made for the first seven transactions of the company.

Required
A. For each transaction, describe the event that caused the entry to be made.
B. How much income (or loss) did the companyearn?

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OWNERS' EQUITY Retained Capital Earnings Other Cash Assets Accounts Contributed Capital 5,000 4.200 Transportation Expense -500 -700 1,300 5,000+1,250 Retained Eamings Ending Amounts 5,950 300