For each Financial Transaction for Zorus Company below, identify the effect on the Balance Sheet, Income Statement and Statement of Cash Flows. If a transaction does not effect a statement(s), then answer N/A. (1/2 point for each of the three statements.) Identify if the transaction on the statement of cash flows is an Operating activity (OA), Investing activity (IA) or a Financing Activity (FA) 1. A company borrows money and issues a note payable on Feb. 5 in the amount of $125,000.

1. A company borrows money and issues a note payable on Feb. 5 in the amount of $125,000.

Assets

=

Liabilities

+

Stockholders' Equity

Statement of Cash Flow

=

+

Common Stock

+

Retained Earnings

REV

-

EXP

-

DIV

=

+

+

-

-

1. Assets

   =

   Liabilities

   +

   Stockholders' Equity

   Statement of Cash Flow

   =

   +

   Common Stock

   +

   Retained Earnings

   REV

   -

   EXP

   -

   DIV