Hobby Seekers Incorporated offers a subscription$-$based service to help people with similar interests connect. The company experienced the following events during its first year of operations, Year $1$:

Acquired $$484,000$ cash needed to start the company by issuing common stock.

Purchased land for accounting and sales personnel offices for $$234,000$ cash.

Earned $$82,000$ cash from the sale of subscription services during its first year of operations.

Borrowed $$184,000$ cash from a local bank to assist in financing future operations.

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. The first transaction is shown as an example.

Note: In the Statement of Cash Flows column, use OA to designate operating activity, IA for investing activity, and FA for financing activity. Enter any decreases to account balances and cash outflows with a minus sign. Leave cells blank if no input is needed.