Required information [The following information applies to the questions displayed below.] The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $49,500 from the issue of common stock. 2. Purchased equipment inventory of $175,000 on account. 3. Sold equipment for $196,500 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $121,500. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 5 percent of sales. 5. Paid the sales tax to the state agency on $146,500 of the sales. 6. On September 1, Year 1, borrowed $21,000 from the local bank. The note had a 6 percent interest rate and matured on March 1, Year 2. 7. Paid $5,600 for warranty repairs during the year. 8. Paid operating expenses of $53,000 for the year. 9. Paid $124,600 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6 . (1) Required information Prev 2cos3 of 3 Next ! Required information \begin{tabular}{|l|l|l|} \hline \multicolumn{1}{|c|}{ OZARK SALES } & \\ \hline \multicolumn{1}{|c|}{ Balance Sheet } & \\ \hline Assets & December 31, Year 1 & \\ \hline Cash & & \\ \hline Merchandise inventory & & $ \\ \hline Total assets & & \\ \hline Liabilities & & \\ \hline Accounts payable & & \\ \hline Sales tax payable & & \\ \hline Warranty payable & & \\ \hline Interest payable & & \\ \hline Notes payable & & \\ \hline \end{tabular} I vaies lan navanie !) Required information \begin{tabular}{|l|l|l|} \hline Notes payable & & \\ \hline & & \\ \hline Total liabilities & & \\ \hline Stockholders' equity & & \\ \hline Common stock & & \\ \hline Retained earnings & & \\ \hline & & \\ \hline Total stockholders' equity & & $000 \\ \hline Total liabilities and stockholders' equity & & \\ \hline \end{tabular} 1 Required information OZARK SALES Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities