Dan Wasion started a smal merchandishg business in Year t, the business expedienced the following events during its first yesr of operaflon. Assume that Watson uses the perpetual inventory system. 1. Accured $27000 cash from the issue of common stock. 2. Purchased inventory for $21,600 cash. 3. Sold imentery costiog $17,900 for $30,500 cash. Arequired: a. Use a hocizontal financial stasements model to show how each event affects the balance sheet, income stabement, and stasement of cash flows. More specifically, record the amounts of the events into the model. Also, in the Statement of Casth Flows column, classify the cash fiows as operating octivites (OA), investing bctivities (A), or financing activities (FA) b. Prepace an income statement for Year 1 (use the munstep format). c. What is the amount of total sssets at the end of the period? Complete this question by entering your answers in the tabs below. Use a hortronta firancial statements model to show how each event affects the balance sheet, income statement, and atobement of cash flows. More specincally. record the amounts of the events into the model, Alvo, in the Statement of Cash Flows column, dassify the cash fows es cperating acthries (OA), investing activities (BW), or finanding activities (FA). Notef Enter any decreaets to account balances and cash quthows with a minus sign. Leave cells blank it no input is needed