1-46A Using the accounting equation for transaction analysis and preparing financial statements Annette Pachelo recently opened her own law office on March 1, which she operates as a sole proprietorship. The name of the new entity is Annette Pachelo, Attomey: Pachelo experienced the following events during the organizing phase of the new business and its first month of operation, March 2018. Some of the events were per. sonal and did not affect the law practice. Others were business transactions and should be accounted for by the business. Requirements 1. Analyze the effects of the preceding events on the accounting equation of Annette Pachelo, Attorney. Use a format similar to Exhibit 1-5. 2. Prepare the following financial statements: a. Income statement. b. Statement of owner's equity: c. Balance sheet. d. Statement of cash flows