Fun in the Sun Incorporated operates a beach chair rental service in south Florida. The company experienced the following events in its first year of operations: 1. Issued $80,000 of common stock for cash. 2. Provided $50,000 of rental services on account. 3. Collected $10,000 cash from accounts receivable. 4. Adjusted the accounting records to reflect uncollectible accounts expense for the year. The company estimates that 10 percent of the ending accounts receivable balance will be uncollectible. Required: Use a horizontal financial statements model to show how each event affects the balance sheet, income statement, and statement of cash flows. More specifically, record the amounts of the events into the model. Also, in the Statement of Cash Flows column, classify the cash flows as operating activities (OA), investing activities (IA), or financing activities (FA). The first transaction is shown as an example. Note: Enter any decreases to account balances and cash outflows with a minus sign. Leave cells blank if no input is needed. Assets Balance Sheet = Liabilities + Stockholders' Equity Income Statement Event Number Cash Net Realizable Value of Accounts Receivable Accounts Common Payable Stock Retained Revenue Earnings Expenses Net Income Statement of Cash Flows 1. 80,000 + 80,000 + 80,000 FA 2. 3. + 4. Total 80,000+ + 0 = 0+ 80,000+ 0 0 0 = 0 80,000 *NC *NC= Net change in cash wwwwwwwwwwwww wwwwwwwwwwwww wwwwwwwwwwwwww wwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwwm