Aaterials inventory makes eBook readers. The company had the following amounts at the beginning of Year 2: Cash, \$677,000: Raw retained Earning s \$24,000; Work in Process Inventory, $30,000; Finished Goods Inventory, $61,000; Common Stock, $585,000; and lepreciation, assume that Antioch experlenced the following accounting events during Year 2. Other than the adjusting entries for 1. Paid $33,000 of research and development costs. 2. Paid $49,000 for raw materials that will be used to make eBook readers. 3. Piaced $91,000 of the raw materials cost into the process of manufacturing eBook readers 4. Paid $73,000 for salaries of selling and administrative employees. 5. Paid $104,000 for wages of production workers. 6. Paid $63,000 to purchase equipment used in selling and administrative offices. 7. Recognized depreciation on the office equipment. The equipment was acquired on January 1, Year 2, It has a $13,000 salvage value and a five-year life. The amount of depreciation is computed as ((Cost - salvage) + useful life). Specifically, (\$63,000 $13,000)+5=$10,000 8. Paid $172,000 to purchase manufacturing equipment 9. Recognized depreciation on the manufacturing equipment. The equipment was acquired on January 1, Year 2. It has a $20.000 salvage value and a elght-year life. The amount of depreciation is computed as ((Cost - salvage) 4seful ife) Speciffeally. ($172,000$20,000)+8=$19,000. 10. Paid $53,000 for rent and utility costs on the manufacturing facility. 11. Paid $75,000 for inventory holding expenses for completed eBook readers (rental of warehouse space, salaries of warehouse personnel, and other general storage cost). 12. Completed and transferred eBook readers that had total cost of $247,000 from work in process inventory to finished goods. 13. Sold 990eBook readers for $424,000 14. It cost Antioch $217,800 to make the eBook readers sold in Event 13. Required: a. Show how these events affect the balance sheet, income statement, and statement of cash flows by recording themin a hiorizontal financial statements model. c-1. Prepare a schedule of cost of goods manufactured and sold for the year. c-2. Prepare a formal income statement for the year. c-3. Prepare a balance sheet for the year. ANTIOCH COMPANY Financial Statements Model ANTIOCH COMPANY Schedule of Cost of Goods Manufactured and Sold For the Year Ended December 31, Year 2 \begin{tabular}{|l|l|} \hline Beginning raw materials Inventory & \\ \hline Purchases & \\ \hline Raw materials available & \\ \hline Ending raw materials inventory & \\ \hline Raw materials used & \\ \hline Labor & \\ \hline Overhead & \\ \hline Total manufacturing costs & \\ \hline Beginning work in process inventory & \\ \hline Total work in process inventory & \\ \hline Ending work in process inventory & \\ \hline Cost of goods manufactured & \\ \hline Beginning finished goods inventory & \\ \hline Goods available & \\ \hline Ending finished goods inventory & \\ \hline Cost of goods sold & \\ \hline \end{tabular} Prepare a formal income statement for the year. \begin{tabular}{|l|l|} \hline \multicolumn{2}{|c|}{ ANTIOCH COMPANY } \\ \hline \multicolumn{2}{|c|}{ Balance Sheet } \\ \hline As of December 31, Year 2 \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline Total assets & \\ \hline Stockholders' Equity & \\ \hline & \\ \hline & \\ \hline & \\ \hline Total stockholders' equity & \\ \hline \end{tabular}