4 Easley O'Hara Office Equipment sells fumiture and technology solutions to consumers and to businesses. Most consumers pay for their purchases with credit cards and business customers make purchases on open account with terms 110, net 30. Costs of furniture Inventory purchases have generally been rising and costs of computer inventory purchases have generaly been declining. The company's income tax rate is 20% Casey Easley, the general manager was particularly interested in the financial statement effects of the following facts related to first quarter operations. 4 points Skood Book a. Credit card sales discount 2%) were $34.500 b. Sales on account were $98,000. The company expects one-half of the accounts to be paid within the discount period The company computed cost of goods sold for the transactions in (a) and (b) above under FIFO and LIFO for its two product lines and chose the method for each product that inimizes income taxes FFO UFO Furniture $26.800 $29,800 Computer equipment 31800 27,800 0 Print References d. During the period, the company wrote off $1180 worth of bad debts, At the end of the period, the company estimated that 15% of gross sales on account would prove to be uncollectible 1. Costs to deliver furniture to customers were $4.800 g. Rent, utilities, salaries, and other operating expenses were $21,800 h. At the end of the period, the company discovered that the net realizable value of ending invertory was $980 less than original cost Required: Complete the folowing table, indicating the effects of each transaction on each income statement inter or subtotalisted indicate the amount and use a minus sign for a decrease leave the space blank for no effect Hint Remember that any item that affects revenues or expenses also affects Income Tax Expense by the amount of the revenue or expense times the income tax rate) When you are done, cum across the columns to produce Eastey O'Hara's income statement for the quarter Transaction mene Cort of goods 2016 Grossroll Seling, and mave Income before income Income Net