powell company began the year 3 accounting period with $43000 cash, 89,000 inventory, $63,000 common stock, and 69,000 retained earnings. During Year 3, powell experienced the following events: 1. Sold merchandise costing $59, 500 for $102, 500 on account to Prentise Furniture Store. 2. Delivered the goods to Prentise under terms FOB destination. Freight costs were $1000 cash 3. Received returned goods from Prentise. The goods cost Powell $4,300 and were sold to prentise for $6,400 4. Granted Prentise a $3,300 allowance for damaged goods that Prentise agreed to keep. 5. Collected partial payment for $83,500 cash from accounts receivable. Required: a. Record the events in a statements model shown below. b. Prepare an income statement, a balance sheet, and a statement of cash flows. c. Why Would Prentise agree to keep the damged goods