Exercise E-3 (Algo) Effect of investment securities transactions on financial statements The following information pertains to Botter Supply Company for Year 1: 1. Purchased $99,900 of marketable investment securities. 2. Earned $4,100 of cash investment revenue. 3. Sold for $33,800 securities that cost $31,434. 4. The fair value of the remaining securities at December 31 , Year 1, was $91,800. Required a. Record the four events in a horizontal statements model, Use a separate model for each classification: (1) held to maturity, (2) trading. and (3) avalloble for sale. The first event for the first clossification is shown as an example. b. What is the amount of net income under each of the three classifications? c. What is the change in cash from operating activities under each of the three classifications? Complete this question by entering your answers in the tabs below. Record the four events in a horizontal statements model. Use a separate model for each classification: (1) heid to maturiky, (2) trading, and (3) available for sale. The fir classification is shown as an example. (Enter any decreases to account balances and cash outfiows with a minus sign. In the Statement of Cash Flows column, indicate w operating activity (OA), investing activity (LA), financing octivity (FA), or net change in cash (NC), Leave blank to indicate that an element was not affected by the event- classification is shown as an example. (Enter any decreases to account balsnces and cash outflows with a minus sign. In the Statement of Cash Flaws column, indicate operating activity (OA), investing activity (LA), finaricing activity (FA), or net change in cash (NC), Leave blanik to indicate that an element, was not affected by the ever 1. Purchased $99,900 of marketable investment securities. 2. Earned $4,100 of cash investment revenue. 3. Sold for $33,800 securities that cost $31,434. 4. The fair value of the remaining securities at December 31 , Year 1 , was $91,800. Required a. Record the four events in a horizontal statements model. Use a separate model for each classification: (1) and (3) available for sale. The first event for the first classification is shown as an example. b. What is the amount of net income under each of the three classifications? c. What is the change in cash from operating activities under each of the three classifications? Complete this question by entering your answers in the tabs below. What is the amount of net income under each of the three classifications