(Solved): Assume Down, incorporated, was organized on May 1 to compete with Despait, incorporated-a company t ...

Assume Down, incorporated, was organized on May 1 to compete with Despait, incorporated-a company that selis themotivational posters and office products. Down, incorporated, encountered the following events during its first month of. opetations. a. Received $$\$38.000$$ cash from the investors who organized Down, tncorporated $$b$$ Borrowed $$\$17.000$$ cash and signed a note due in two years c. Ordered equipment costing $$\$20,000$$ of Purchased $$\$8,000$$ in equipment, parying $$\$3,000$$ in cash and signing a six month note for the balance e. freceived the equipaient ordered in (c). pald for half of at, and put the rest on account. 3. Prepare a classified balance sheet at May 3t include Petained Earnings with a balince of zero.