Midwestern Reserve Rare Coins (MRRC) was formed on January 1, 2024. Additional data for the year follow: 1 (Click the icon to view the data.) Read the requirements 2. Requirement 1. What is the purpose of the statement of cash flows? The purpose of the statement of cash flows is to show where cash came from and how cash was spent during the period. Requirement 2. Prepare MRRC's income statement for the year ended December 31, 2024. Use the single-step format, with all re Requirement 3. Prepare MRRC's balance sheet at December 31, 2024. select a label or enter a zero. Enter " 0 " for a zero cash balance.) Complete the statement one section at a time, beqinning with the cash flows from operating activities. a. On January 1, 2024, MRRC issued no par common stock for $525,000. b. Early in January, MRRC made the following cash payments: 1. For store fixtures, $52,000 2. For merchandise inventory, $260,000 3. For rent expense on a store building, $12,000 c. Later in the year, MRRC purchased merchandise inventory on account for $244,000. Before year-end, MRRC paid $144,000 of this accounts payable. e. The store employs three people. The combined annual payroll is $88,000, of which MRRC still owes $2,000 at year-end. f. At the end of the year, MRRC paid income tax of $16,000. There are no income taxes payable. g. Late in 2024, MRRC paid cash dividends of $40,000. h. For store fixtures, MRRC uses the straight-line depreciation method, over five years, with zero residual value. 2: Requirements 1. What is the purpose of the statement of cash flows? 2. Prepare MRRC's income statement for the year ended December 31,2024 . Use the single-step format, with all revenues listed together and all expenses listed together. 3. Prepare MRRC's balance sheet at December 31, 2024. 4. Prepare MRRC's statement of cash flows using the indirect method for the year ended December 31, 2024