Dan Watson started a small merchandising business In Year 1. The buslness experienced the following events during its first year of operation. Assume that Watson uses the perpetual Inventory system. 1. Acquired $31,000 cash from the issue of common stock. 2. Purchased Inventory for $24,800 cash. 3. Sold Inventory costing $18,700 for $31,000 cash. Requlrec 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, NC for net change In cash and NA to Indicate the element is not affected by the event. b. Prepare an Income statement for Year 1 (use the multistep format. c. What Is the amount of total assets at the end of the period? Complete this question by entering your answers in the tabs below Required A Required BRequired C 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, NC for net change in cash and NA to indicate the element is not affected by the event. (Enter any decreases to account balances and cash outflows with a minus sign DAN WATSON MERCHANDISING Effect of Events on Financial Statement Assets Stockholders' Equity RevenueExpenses Net Income Statement of Cash Flows vent Common Retained Earnings Cash +Inventory Stock 2. 3b Total Dan Watson started a small merchandising business In Year 1. The business experienced the following events during Its first year of operation. Assume that Watson uses the perpetual Inventory system. 1. Acquired $31,000 cash from the Issue of common stock. 2. Purchased Inventory for $24,800 cash. 3. Sold Inventory costing $18,700 for $31,000 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, NC for net change In cash and NA to Indicate the element is not affected by the event. b. Prepare an Income statement for Year 1 (use the multistep format). c. What Is the amount of total assets at the end of the perlod? Complete this question by entering your answers in the tabs below Required A Required BRequired C Prepare an income statement for Year 1 (use the multistep format) DAN WATSON MERCHANDISING Income Statement For the Year Ended December 31, Year 1 Dan Watson started a small merchandising business in Year 1. The business experienced the following events during its first year of operation. Assume that Watson uses the perpetual Inventory system. 1. Acquired $31,000 cash from the Issue of common stock. 2. Purchased Inventory for $24,800 cash. 3. Sold Inventory costing $18,700 for $31,000 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, NC for net change In cash and NA to Indicate the element is not affected by the event. b. Prepare an Income statement for Year 1 (use the multistep format). c. What is the amount of total assets at the end of the perlod? Complete this question by entering your answers in the tabs below. Required A Required B Required C What is the amount of total assets at the end of the period? otal assets