Required Information [The following information applies to the questions displayed below.] Sage Inc. experienced the following transactions for Year 1, Its first year of operations: 1. Issued common stock for $100,000 cash. 2. Purchased $205,000 of merchandise on account. 3. Sold merchandise that cost $158,000 for $314,000 on account. 4. Collected $278,000 cash from accounts receivable. 5. Pald $185,000 on accounts payable. 6. Pald $62,000 of salaries expense for the year. 7. Pald other operating expenses of $78,000. 8. Sage adjusted the accounts using the following information from an accounts receivable aging schedule: Percent likely to Be Uncollectible 0.01 Allowance Balance Number of Days Past Due Current 0-30 31-60 61-90 Over 90 days e.es Amount $21,680 9, eee 1,800 1,888 1,880 0.10 8.2e 0.50 Required a. Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. Not all cells in the "Accounts Titles for Retained Earnings" column may require an Input - leave cells blank If there is no corresponding Retained Earnings Input needed.) SAGE INC. Accounting Equation for the Year 1 = Liabilities Equity Merchandise Accounts Common Retained Inventory Payable Stock Earnings 100,000/= Assets Accounts Receivable Allowance Event Accounts Titles for Retained Earnings + Cash 1. + + 2. 3a. + 3b. 4. + 5. 6. + 7. 8. Bal. 0+ 0 = 100,000 = 0