Monroe Incorporated began the Year 2 accounting period with $4,000 cash, $2,000 of common stock, and $2,000 of retained earnings. The company was affected by the following accounting events related to the purchase of supplies during Year 2 1. Purchased $800 of supplies on account. 2. Adjusted the records to reflect the use of supplies. A physical count indicated that $300 of supplies was still on hand on December 31, 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. Income Statement Retained Revenue-Expenses Net Income Earnings Event Number Assets Cash . Supplies Begining 4,000 Balance Sheet Liabilities Accounts Payable Stockholders' Equity Common Stock 2,000. Balance 1. 800- 800 2 300 . . Total 4,000 + 800 800 2,000 Statement of Cash Flows Cr