Hello I need help creating a orizontal statement model for the below I keep getting stuck on 8 Can you please add working notes so I can understand where the figures come from I was unable to copy over the Spreadsheet However I saw a few on the site , but could not understand where the calculations for 8 came from Thanks At the beginning of 2018, the Redd Company had the following balances in its accounts Cash $ 8,500 Inventory 2,500 Common stock 8,000 Retained earnings 3,000 During 2018, the company experienced the following events Purchased inventory that cost $6,000 on account from Ross Company under terms 2 10, n 30 The merchandise was delivered FOB shipping point Freight costs of $550 were paid in cash Returned $400 of the inventory that it had purchased because the inventory was damaged in transit The seller agreed to pay the return freight cost Paid the amount due on its account payable to Redd Company within the cash discount period Sold inventory that had cost $6,500 for $9,500 on account, under terms 2 10, n 45 Received merchandise returned from a customer The merchandise originally cost $550 and was sold to the customer for $850 cash The customer was paid $850 cash for the returned merchandise Delivered goods FOB destination in Event 4 Freight costs of $650 were paid in cash Collected the amount due on the account receivable within the discount period Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period Record each event in a statements model like the following one In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash If the element is not affected by the event, leave the cell blank The first event is recorded as an example (Not every cell will require entry Enter any decreases to account balances and cash outflows with a minus sign ) Required information The following information applies to the questions displayed below At the beginning of 2018, the Redd Company had the following balances in its accounts Cash $ 8,500 Inventory 2,500 Common stock 8,000 Retained earnings 3,000 During 2018, the company experienced the following events Purchased inventory that cost $6,000 on account from Ross Company under terms 2 10, n 30 The merchandise was delivered FOB shipping point Freight costs of $550 were paid in cash Returned $400 of the inventory that it had purchased because the inventory was damaged in transit The seller agreed to pay the return freight cost Paid the amount due on its account payable to Redd Company within the cash discount period Sold inventory that had cost $6,500 for $9,500 on account, under terms 2 10, n 45 Received merchandise returned from a customer The merchandise originally cost $550 and was sold to the customer for $850 cash The customer was paid $850 cash for the returned merchandise Delivered goods FOB destination in Event 4 Freight costs of $650 were paid in cash Collected the amount due on the account receivable within the discount period Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period rev 04 30 2020 QC CS 210527 Record each event in a statements model like the following one In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash If the element is not affected by the event, leave the cell blank The first event is recorded as an example (Not every cell will require entry Enter any decreases to account balances and cash outflows with a minus sign ) Required information The following information applies to the questions displayed below At the beginning of 2018, the Redd Company had the following balances in its accounts Cash $ 8,500 Inventory 2,500 Common stock 8,000 Retained earnings 3,000 During 2018, the company experienced the following events Purchased inventory that cost $6,000 on account from Ross Company under terms 2 10, n 30 The merchandise was delivered FOB shipping point Freight costs of $550 were paid in cash Returned $400 of the inventory that it had purchased because the inventory was damaged in transit The seller agreed to pay the return freight cost Paid the amount due on its account payable to Redd Company within the cash discount period Sold inventory that had cost $6,500 for $9,500 on account, under terms 2 10, n 45 Received merchandise returned from a customer The merchandise originally cost $550 and was sold to the customer for $850 cash The customer was paid $850 cash for the returned merchandise Delivered goods FOB destination in Event 4 Freight costs of $650 were paid in cash Collected the amount due on the account receivable within the discount period Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period rev 04 30 2020 QC CS 210527 Record each event in a statements model like the following one In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash If the element is not affected by the event, leave the cell blank The first event is recorded as an example (Not every cell will require entry Enter any decreases to account balances and cash outflows with a minus sign ) Required information The following information applies to the questions displayed below At the beginning of 2018, the Redd Company had the following balances in its accounts Cash $ 8,500 Inventory 2,500 Common stock 8,000 Retained earnings 3,000 During 2018, the company experienced the following events Purchased inventory that cost $6,000 on account from Ross Company under terms 2 10, n 30 The merchandise was delivered FOB shipping point Freight costs of $550 were paid in cash Returned $400 of the inventory that it had purchased because the inventory was damaged in transit The seller agreed to pay the return freight cost Paid the amount due on its account payable to Redd Company within the cash discount period Sold inventory that had cost $6,500 for $9,500 on account, under terms 2 10, n 45 Received merchandise returned from a customer The merchandise originally cost $550 and was sold to the customer for $850 cash The customer was paid $850 cash for the returned merchandise Delivered goods FOB destination in Event 4 Freight costs of $650 were paid in cash Collected the amount due on the account receivable within the discount period Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period

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Hello I need help creating a orizontal statement model for the below. I keep getting stuck on #8. Can you please add working notes so

Hello I need help creating a orizontal statement model for the below. I keep getting stuck on #8. Can you please add working notes so I can understand where the figures come from. I was unable to copy over the Spreadsheet. However I saw a few on the site , but could not understand where the calculations for #8 came from. Thanks: At the beginning of 2018, the Redd Company had the following balances in its accounts:


Cash	$	8,500
Inventory		2,500
Common stock		8,000
Retained earnings		3,000

During 2018, the company experienced the following events:

Purchased inventory that cost $6,000 on account from Ross Company under terms 2/10, n/30. The merchandise was delivered FOB shipping point. Freight costs of $550 were paid in cash.
Returned $400 of the inventory that it had purchased because the inventory was damaged in transit. The seller agreed to pay the return freight cost.
Paid the amount due on its account payable to Redd Company within the cash discount period.
Sold inventory that had cost $6,500 for $9,500 on account, under terms 2/10, n/45.
Received merchandise returned from a customer. The merchandise originally cost $550 and was sold to the customer for $850 cash. The customer was paid $850 cash for the returned merchandise.
Delivered goods FOB destination in Event 4. Freight costs of $650 were paid in cash.
Collected the amount due on the account receivable within the discount period.
Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period.

Record each event in a statements model like the following one. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash. If the element is not affected by the event, leave the cell blank. The first event is recorded as an example. (Not every cell will require entry. Enter any decreases to account balances and cash outflows with a minus sign.)

Required information

[The following information applies to the questions displayed below.] At the beginning of 2018, the Redd Company had the following balances in its accounts:


Cash	$	8,500
Inventory		2,500
Common stock		8,000
Retained earnings		3,000

During 2018, the company experienced the following events:

Purchased inventory that cost $6,000 on account from Ross Company under terms 2/10, n/30. The merchandise was delivered FOB shipping point. Freight costs of $550 were paid in cash.
Returned $400 of the inventory that it had purchased because the inventory was damaged in transit. The seller agreed to pay the return freight cost.
Paid the amount due on its account payable to Redd Company within the cash discount period.
Sold inventory that had cost $6,500 for $9,500 on account, under terms 2/10, n/45.
Received merchandise returned from a customer. The merchandise originally cost $550 and was sold to the customer for $850 cash. The customer was paid $850 cash for the returned merchandise.
Delivered goods FOB destination in Event 4. Freight costs of $650 were paid in cash.
Collected the amount due on the account receivable within the discount period.
Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period.

rev: 04_30_2020_QC_CS-210527

Record each event in a statements model like the following one. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash. If the element is not affected by the event, leave the cell blank. The first event is recorded as an example. (Not every cell will require entry. Enter any decreases to account balances and cash outflows with a minus sign.)

Required information

[The following information applies to the questions displayed below.] At the beginning of 2018, the Redd Company had the following balances in its accounts:


Cash	$	8,500
Inventory		2,500
Common stock		8,000
Retained earnings		3,000

During 2018, the company experienced the following events:

Purchased inventory that cost $6,000 on account from Ross Company under terms 2/10, n/30. The merchandise was delivered FOB shipping point. Freight costs of $550 were paid in cash.
Returned $400 of the inventory that it had purchased because the inventory was damaged in transit. The seller agreed to pay the return freight cost.
Paid the amount due on its account payable to Redd Company within the cash discount period.
Sold inventory that had cost $6,500 for $9,500 on account, under terms 2/10, n/45.
Received merchandise returned from a customer. The merchandise originally cost $550 and was sold to the customer for $850 cash. The customer was paid $850 cash for the returned merchandise.
Delivered goods FOB destination in Event 4. Freight costs of $650 were paid in cash.
Collected the amount due on the account receivable within the discount period.
Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period.

rev: 04_30_2020_QC_CS-210527

Record each event in a statements model like the following one. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash. If the element is not affected by the event, leave the cell blank. The first event is recorded as an example. (Not every cell will require entry. Enter any decreases to account balances and cash outflows with a minus sign.)

Required information

[The following information applies to the questions displayed below.] At the beginning of 2018, the Redd Company had the following balances in its accounts:


Cash	$	8,500
Inventory		2,500
Common stock		8,000
Retained earnings		3,000

During 2018, the company experienced the following events:

Purchased inventory that cost $6,000 on account from Ross Company under terms 2/10, n/30. The merchandise was delivered FOB shipping point. Freight costs of $550 were paid in cash.
Returned $400 of the inventory that it had purchased because the inventory was damaged in transit. The seller agreed to pay the return freight cost.
Paid the amount due on its account payable to Redd Company within the cash discount period.
Sold inventory that had cost $6,500 for $9,500 on account, under terms 2/10, n/45.
Received merchandise returned from a customer. The merchandise originally cost $550 and was sold to the customer for $850 cash. The customer was paid $850 cash for the returned merchandise.
Delivered goods FOB destination in Event 4. Freight costs of $650 were paid in cash.
Collected the amount due on the account receivable within the discount period.
Took a physical count indicating that $2,200 of inventory was on hand at the end of the accounting period.