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Bali Sales Company experienced the following events: 1. Purchased merchandise inventory for cash. 2. Purchased merchandise inventory on account. 3. Returned merchandise purchased on account.

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Bali Sales Company experienced the following events: 1. Purchased merchandise inventory for cash. 2. Purchased merchandise inventory on account. 3. Returned merchandise purchased on account. 4. Sold merchandise inventory for cash. 5. Paid cash on accounts payable not within the discount period. 6. Sold merchandise inventory on account. 7. Paid cash for selling and administrative expenses. 8. Paid cash for transportation-in. 9. Collected cash from accounts receivable. 10. Paid cash for transportation-out. Required Identify each event as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE), Also, explain how each event affects the financial statements by placing + for increase, - for decrease, or +/-for increases and decreases under each of the components in the following statements model. Also in the Statement of Cash Flows column, use the letters OA to designate operating activity, IA for investing activity, and FA for financing activity. Assume the use of the perpetual inventory system. The first event is recorded as an example. (Not all cells require input.) \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{14}{|c|}{ BALI SALES COMPANY } \\ \hline \multicolumn{14}{|c|}{ Horizontal Statements Model } \\ \hline Event No. & Event Type & Assets & = & Liabilities & + & \begin{tabular}{l} Stockholders' \\ Equity \end{tabular} & Revenue & - & Expense & = & Net Incorne & Cas & Flows \\ \hline 1. & AE & +1 & = & & + & & & - & & = & & - & OA \\ \hline 2. & r & & = & & + & & E & - & & = & & & \\ \hline 3. & 7 & & = & & + & & & - & & = & - & & \\ \hline 4a. & & 4 & = & & + & & & - & & = & & & \\ \hline 4b. & 7 & & = & & + & & & - & & = & & & \\ \hline 5. & 7 & & = & & + & & & - & & = & & & \\ \hline 6a. & & & = & & + & & & = & & = & & & \\ \hline 66. & 7 & & = & & + & & & - & & = & & & \\ \hline 7. & & & = & & 1+ & & & = & & = & & & \\ \hline a. & F & & = & & + & & & = & & = & & & \\ \hline 9. & & & = & & + & & & - & & = & & & \\ \hline 10. & & & = & & + & & & - & & = & & & \\ \hline \end{tabular}

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