Please use the two pictures of the horizontal balance sheet to complete the following.

Flexible Budget Actual Units Sold Actual Units Sold + 25,000 Actual Units Sold + 50,000 Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Sales & Marketing Operating Costs Wages Research & Dev Exp Advertising Expense Depreciation Exp Interest Expense Net Income Inventory Production *use ending inventory from your horizontal balance sheet for beginning inventory for the Beginning Inventory + Purchases - Estimated COGS = Desired Ending *actual units at average COGS/unit Purchases = Breakeven Calcuation BE = FC / (CM/Unit) Income Statement for Year 1 Balance Sheet for Year 1 Assets Sales Revenue Less: Cost of Goods Sold Gross Margin Cash Inventory Equipment Accumulated Depreciation Total Assets Liabilities Less: Expenses Sales & Marketing Operating costs Wages Research & Dev Exp Advertising Expense Depreciation Exp Interest Expense Total Operating Expenses Accounts Payable Dividends Payable Notes Payable Total Liabilities Net Income (Loss) Stockholders Equity Common Stock Additional Paid in Capital Retained Earnings Total Stockholders Equity NO Total Liabilities and Stockholders Equity Transaction List: 1. Acquired $500,000 by signing a note payable with a local bank 2. Sold 25.000 shares of $22 par value Common Stock for $1,500,000 3. Purchased Equipment for $300,000 cash 4. Purchased 25,000 Units of Inventory on Account at $1.15 per unit 5. Sold 20.000 units at $3.50 on Account 6. Collected $70,000 of accounts receivable 7. Paid $17,250 of Accounts Payable 8. Purchased 150,000 Units of Inventory on Account at $1.05 per unit 9. Sold 153,000 units at $3.50 on Account 10. Collected $472.500 of accounts receivable 11. Paid $118,600 of Accounts Payable 12. Purchased 275,000 Units of Inventory on Account at $1.35 per unit 13. Sold 215,000 units at $3.50 on Account 14. Collected $735,000 of accounts receivable 15. Paid $294,150 of Accounts Payable 16. Purchased 300,000 Units of Inventory on Account at $1.15 per unit 17. Record Sales & Marketing Expenses of $30,000 (paid in cash) 18. Record Operating Expenses of $75,708 (paid in cash) 19. Record Wage Expenses of $40,000 (paid in cash) 20. Record Product Line Research & Development Expenses of $150,000 (paid in cash) 21. Record Advertising Expenses of $87,500 (paid in cash) 22. Made the yearly required payment on the note payable. The note carries a 7% interest rate and requires payments of $50,000 plus interest each December 31. 23. Record Yr 1 Depreciation on Equipment with Salvage Value of $38,000 and useful life of 7 Yrs (straight-line depreciation) 24. Declared a $10,000 cash dividend for stockholders 25. Paid a $10,000 cash dividend for stockholders Events Car Acc Roc T wentory Equipment Land lab Payable Building A Acc Poyable Notes 1 2 3 4 5a Sb Acquired $500 000 by signing a note payable Sold 25.000 shares of por value of $22 for $1,500,000 Purchaud equipment for $300.000 cash Purchased 25.000 U S $1.15 per unit Sold 20.000 units @ $3.50 on account Cost of gods solid IIIIII $ 70.000 20.000 1222 LE 17800 $178.500 Z Paid accounts payable 8 Purchased Inventory 170.000 units @ $105 per un Pa Sold 153,000 units @ $3.50 per unit 19 Coscollagods sold 10 Colected accounts receivable 11 Paid accounts payable 12 Purchased 275.000 units 51 35 per unit $ (161,150 872.500 14725001 $118.800 $371,25 $ 23,45 235.000$ 735.000 19294.50 13 Cost of goods sold 14 Collected accounts receivable 15 Paid Occounts payab 16 Purchased 30.000 units @ $1.15 per unit 02 Poid soos ond ma 18 Poid operating expenses 175.000 20 Poid producte development on 121 Pod odern 22 Paid interest along with principal sum 123 Depreciation on gui 5 Dividend paid 10.0001 1920 s Ending Balance 80.500 145 200 .000 LS 17 370001 Baloncest Sell income talement Statement of Cow Hows ACCI Payable DVP PIILIT ETINI TI 41414198 199 1198 1199 1999999 TE COLLISIO