Healthy Habits is a fitness consultant company designed to assist people in developing a healthy lifestyle. The company began the Year 2 accounting period with $50,000 cash, $10,000 of common stock, and $40,000 of retained earnings. The company experienced the following events related to the purchase of prepaid insurance during Year 2: 1. On April 1, Year 2. paid $30,000 cash for insurance coverage on the gym for one year. 2. On December 31, Year 2, the company adjusted the accounts to reflect the amount of insurance used during Year 2. Required: Show the effects of the events on the financial statements using a horizontal statements model. The beginning balances are entered for you. Note: In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, and NC for net change in cash. Enter any decreases to account balances and cash outflows with a minus sign. Not all cells require input- leave cells blank if there is no corresponding input needed. Event Number Assets Cash Prepaid Insurance Begining Balance 50,000 + 1. . 2 Total + Balance Sheet Liabilities Accounts Payable Stockholders' Equity Income Statement Net Income Statement of Cash Flows Common Retained Revenue-Expenses Stock Earnings 10,000+ 40,000 4