Required a. Record the given transactions in a horizontal statements model. b. Prepare the income statement, balance sheet, and statement of cash flows for Year 1. c. What is the total amount of current liabilities at December 31, Year 1? Complete this question by entering your answers in the tabs below. Prepare the balance sheet for Year 1. (Round your answers to the nearest whole dollar.) \begin{tabular}{|l|r|r|} \hline Liabilities & & \\ \hline Accounts payable & & $130,000 \\ \hline Warranties payable & & 10,200 \\ \hline Sales tax payable & & 72,800 \\ \hline Notes payable & & 50,000 \\ \hline Interest payable & & 667 \\ \hline & & \\ \hline Total liabilities & & \\ \hline Stockholder's equity & & \\ \hline Common stock & & \\ \hline Retained eamings & 50,000 & \\ \hline & & \\ \hline Total stockholders' equity & & \\ \hline Total liabilities and stockholders' equity & & 141,133 \\ \hline \end{tabular} Complete this question by entering your answers in the tabs below. What is the total amount of current liabilities at December 31 , Year 1 ? (Round your answer to the nea income Statement \begin{tabular}{|l|r|r|} \hline Sales revenue & & For the Year Ended December 31, Year 1 IIIIIII \\ \hline Cost of goods sold & & (330,000) \\ \hline Gross margin & & 180,000 \\ \hline Expenses & & \\ \hline Warranty expenses & & \\ \hline Operating expenses & & \\ \hline & & \\ \hline Total operating expenses & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $50,000 from the issue of common stock. 2. Purchased equipment inventory of $380,000 on account. 3. Sold equipment for $510,000 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $330,000. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 2 percent of sales. 5. Paid the sales tax to the state agency on $400,000 of the sales. 6. On September 1, Year 1, borrowed $50.000 from the local bank. The note had a 4 percent interest rate and matured on March 1, Year 2. 7. Paid $6,200 for warranty repairs during the year. 8. Paid operating expenses of $78,000 for the year. 9. Paid $250,000 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6