Powell Company began the Year 3 accounting perlod with $36,000 cash, $74,000 inventory, $55,000 common stock, and $55,000 retained earnings. During Year 3 , Powell experlenced the following events: 1. Sold merchandise costing $47,000 for $99,000 on account to Prentise Fumiture Store. 2. Dellvered the goods to Prentise under terms FOB destination. Frelght costs were $700 cash. 3. Recelved returned goods from Prentise. The goods cost Powell $4,600 and were sold to Prentise for $6,600. 4. Granted Prentise a $2,600 allowance for damaged goods that Prentise agreed to keep. 5. Collected partlal payment of $79,000 cash from accounts recelvable. Requlred 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 damaged goods? Complete this question by entering your answers in the tabs below. Record the events in a statements model shown below. (Enter any decreases to account balances and cash outflows with a minus sign, In the Cash Flow column, use thto designate operating activity, IA for investing activity, FA for financing activity, or NC for net change in cash. If the account is not affected by the event, leave the cell every cell will require entry.) Powell Company began the Year 3 accounting perlod with $36,000 cash, $74,000 Inventory, $55,000 common stock, and $55,0 retalned earnings. During Year 3 , Powell experlenced the following events: 1. Sold merchandise costing $47,000 for $99,000 on account to Prentise Fumiture Store. 2. Delivered the goods to Prentise under terms FOB destination. Freight costs were $700 cash. 3. Recelved returned goods from Prentise. The goods cost Powell $4,600 and were sold to Prentise for $6,600. 4. Granted Prentise a $2,600 allowance for damaged goods that Prentise agreed to keep. 5. Collected partial payment of $79,000 cash from accounts recelvable. 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 damaged goods? Complete this question by entering your answers in the tabs below. Prepare an income statement for Powell Company. Prepare a balance sheet for Powell Company. Complete this question by entering your answers in the tabs below. Prepare a statement of cash flows for Powell Company. (Cash outflows should be indicated with a mi Complete this question by entering your answers in the tabs below. Why would Prentise agree to keep the damaged goods? (Select "Yes" if the item is a reason to agree, and "No" if it