At the beginning of Year 2, the Redd Company had the following balances in its accounts Cash Inventory Land Common stock Retained earnings $23,300 4,580 3,800 19,000 11,800 During Year 2, the company experienced the following events 1 Purchased inventory that cost $12.200 on account from Ross Company under terms 2/10, n/30. The merchandise was delivered FOB shipping point. Freight costs of $900 were paid in cash. 2 Returned $950 of the inventory it had purchased from Ross Company because the inventory was damaged in transit The seller agreed to pay the return freight cost. 3. Paid the amount due on its account payable to Ross Company within the cash discount period 4 Sold inventory that had cost $9,000 for $17000 on account, under terms 2/10, n/45 5. Received merchandise returned from a customer. The merchandise originally cost $1.700 and was sold to the customer for $2.,100 cash. The customer was paid $2,100 cash for the returned merchandise 6. Delivered goods FOB destination in Event 4. Freight costs of $790 were paid in cash. 7. Collected the amount due on the account receivable within the discouht period 8 Sold the land for $5,500 9. Recognized accrued interest income of $750. 0. Took a physical count indicating that $3,600 of inventory was on hand at the end of the accounting period. (Hint Determine the current balance in the inventory account before calculating the amount of the inventory write down Prev 1 2 3 of 3 Next> b. Record the events in general journal format. Assume that the perpetual inventory method and gross method is used required for a transaction/event, select "No journal entry required" in the first account field.) c. Post the beginning balances and the events to the T-accounts. Note that these ledger accounts will also be used when posting the closing entry that is created in Part e d. Prepare a multistep income statement, a statement of changes in stockholders' equity, a balance sheet, and a statement of cash flows for year 2.(Statement of Cash Flows only, items to be deducted must be indicated with o minus amount,)