dan Watson started a small Merchandising business in 2018. The business experience the following events during its first year of operation. assume that Watson uses the perpetual inventory system

Saved Help Save & E Check my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return Dan Watson started a small merchandising business in 2018. The business experienced the operation. Assume that Watson uses the perpetual inventory system. following events during its first year of 1. Acquired $30,000 cash from the issue of common stock 2 Purchased inventory for $18,000 cash 3. Sold inventory costing $15,000 for $32,000 cash. Required a. Record the events in a horizontal statement model. In the Cash Flow column, use OA to designate operating activity, IA for investment activity. FA for financing activity, or NC for net change in cash If the element is not affected by the event, leave the cell blank b. Prepare an income statement for 2018 (use the multistep format). c. What is the amount of total assets at the end of the perioc? Heturn to ques Sho DAN WATSON MERCHANDISING Effect of Eveats on Fianandiat Staternents Statement of Cash Flows Stockholders Etprity Ritined Earnings: Net Income Assets Expeises Revemue Coamon Stock Event Inventory Cash 34 000 FA 34.000 34,000 1 (27 200) OA 27 200 27.200 2 (16.000) 16,000 (16,000) (16 000) 30.500 OA NC 37 300 30.600 30 500 30.500 30.500 . 91 700 3b 14 500 16.000 36S00 11.200 34,000 14500 Total Required B 43 Required C Required B Required A Prepare an in come statement for 2018 (use the multistep forr DAN WATSON MERCHANDISING Income Statement For the Year Ended December 31, 2018 30,500 Net sales 16,000 Cost of goods sold 14.500 Gross margin 0 Operating expenses S 14.500 Net income XE8T Answer is complet Complete this question by entering your answers in t Required C Required B Required A What is the amount of total assets at the end of the period? 48.500 Total assets Required B