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Analyze transactions and prepare financial statements. (LO 6, 7, 8) P1-4B Jessi Paulis started a consulting firm, Paulis Consulting, on May 1, 2014. The following transactions occurred during the month of May. May 1 Paulis invested $8,000 cash in the business in exchange for shares. 2 Paid $800 for office rent for the month. 3 Purchased $500 of supplies on account. 5 Paid $50 to advertise in the County News. 9 Received $3,000 cash for services provided. 12 Declared and paid a $700 cash dividend. 15 Performed $3,300 of services on account. 17 Paid $2,100 for employee salaries. 20 Paid for the supplies purchased on account on May 3. 23 Received a cash payment of $2,000 for services provided on account on May 15. 26 Borrowed $5,000 from the bank on a note payable. 29 Purchased office equipment for $2,300 on account. 30 Paid $150 for utilities. Instructions (a) Show the effects of the previous transactions on the accounting equation using the following format Assets Liabilities Accounts Notes Accounts Date Cash + Supplies + Equipment = Receivable Payable Payable Capital (a) Total assets $17,800 Share Equity Retained Earnings Rev. Exp. Div. Include margin explanations for any changes in the Retained Earnings account in your analysis. (b) Prepare an income statement for the month of May. (c) Prepare a statement of financial position at May 31, 2014. (b) Net income $3,200 (Cash $13,700