a. Record the effect of the given transactions in a horizontal statements model.

b. What was the total amount of sales tax paid in Year 1?

c. What was the total amount of sales tax collected in Year 1?

d. What is the amount of the sales tax liability as of December 31, Year 1?

! 5 Required information [The following information applies to the questions displayed below) The following selected transactions apply to Topeca Supply for November and December Year 1. November was the first month of operations. Sales tax is collected at the time of sale but is not paid to the state sales tax agency until the following month. 1. Cash sales for November Year 1 were $65,500 plus sales tax of 9 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10, Year 1. 3. Cash sales for December Year 1 were $80,000 plus sales tax of 9 percent Required a. Record the effect of the given transactions in a horizontal statements model. (In the Cash Flow column, use the initials "OA" for outflows with a minus sign. Not all cells require input.) operating activities. "FA" for financing activities, and "A" for investing activity. Enter any decreases to account balances and cash ences Assets TOPECA SUPPLY Horizontal Statements Model Stockholder's Equity Income Statement Common Retained Stock Earnings Revenue Expense Llabuities Sales Tax Payable Event Statement of Cash Flows Cash Net Income 1 2 3