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Thornton Manufacturing Company experienced the following accounting events during its first year of operation. With the exception of the adjusting entries for depreciation, assume that all transactions are cash transactions and that financial statement data are prepared in accordance with GAAP 1. Acquired $53,000 cash by issuing common stock. 2. Paid $7,700 for the materials used to make its products, all of which were started and completed during the year. 3. Paid salaries of $3,700 to selling and administrative employees 4. Paid wages of $6,100 to production workers. 5. Paid $7,000 for furniture used in selling and administrative offices. The furniture was acquired on January 1. It had a $1,800 estimated salvage value and a four-year useful life. 6. Paid $8,700 for manufacturing equipment. The equipment was acquired on January 1. It had a $1,900 estimated salvage value and a two-year useful ife. 7. Sold inventory to customers for $25,700 that had cost $13,700 to make. Required indicate how these events would affect the balance sheet and income statement by recording them in a horizontal financial statements model as indicated here. The first event is recorded as an example. (Enter any decreases to account balances with a minus sign. For changes on the Statement of Cash Flows, indicate whether the item is an operating activity (OA), investing activity (IA), financing activity (FA).) Income Statement Event Balance Sheet Assets BV Manut BV Office Inventory Equip Furn Cash Flow No Stockholders' Equity Common Ret stock Ear, 53,000 Cash Rav. Exp Not Inc 53,000 - 53.000 FA 1 2 3 . . 4 Sa 5b ba 60 Ta 7h Total ex Commasook readers. The company had the following out the beginning of Yew 25000,000, Row Materials entory 67000 Work in Process inventory, 525.000.Fe Goodstory, 504.000. Common Stock 584,000, and ned, 5239000 Antiochergerienced the following accounting events during 2 Other than the adjusting entries for depresume that sections entrenat 1. Poid 2.000 of research and development that will be took and 1,000 of the raw materiale cont we nece draheturing Bok readers 4. Paid 6.000 fories of sing and drive employees 5. Paid $101.000 for wages of production workers 6.Pd5175.000 to purchase womented in cling and drive office Recogie depreciation on the office pment. The man was acquired on January terhes a $15.000 savage value and eight year it. The mount of depreciation is computed cost savagelse Specifically (5175.000 $160001 - 520.000 Paid 7000 to purchase manufacturing out Recorded derection on the manufacturing erment. The connect was scared on Januaryt. Year 2 ts $27000 salvege vloe and see the amount of depreciation is computed as Costa e Specially IST.000 - $27000.000 10. Pod 1000 for rent and cons on the manufacturing facility 1. Pod 72.000 forintory hiding expenses for completed eBook readers frental of whouse species of warehouse personnel and other general storage 12. Completed and transferred to adors that had total cost of 8246.000 from work in process inventory to finished goods. Sold 930 orders for $429,000 14. Cost Antioch $167400 to make the look readers sold Event Required: Show now there was affect the balance short income statement, and statement of cash flows by recording them a horizontal financial statements model A propone schedule of cost of goods manufactured and sold for tre you 2. Prepare a formal Prepare balance sheet for the year Complete the question by entering your answer in the tabs below Het show how events are become statement, ent of cows by recording them in short financial statement modele de tream How whether the COY, CA), V(A). If an em nove the call) ANTIOCK COMPANY Income C Dista Press Finished Goode Com HVM Neto 0.000 57.000 25.000 51300 5640 23000 2 3 - - 15 - 11