At January 1 2023, Quark Co. had $20,000 cash on hand and owed $10,000 for 2022 corporate income taxes. $8,000 of this tax liability was paid on September 30. The company paid 2023 income tax instalments of $1,000 each month.

During 2023, the companys revenues were $500,000 and total expenses were $300,000, excluding income taxes. All revenue is received in cash from clients. All expenses are paid in cash.

The corporate income tax rate is 25%.

Required:

1. (1 mark) Prepare a transactions worksheet to record the events.
2. (1 marks) Calculate the corporate tax liability at December 31, 2023.
3. (1 marks) Calculate 2023 net cash flow.