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 $48,500 from the issue of common stock. 2. Purchased equipment inventory of $177,000 on account. 3. Sold equipment for $204,000 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $129,000. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Paid the sales tax to the state agency on $154,000 of the sales. 6. On September 1, Year 1, borrowed $20,500 from the local bank. The note had a 5 percent interest rate and matured on March 1, Year 2. 7. Paid $5,800 for warranty repairs during the year. 8. Paid operating expenses of $54,500 for the year. 9. Paid $125,900 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6 . b-1. Prepare the income statement for Year 1 . Note: Round your answers to the nearest dollar amount. b-2. Prepare the balance sheet for Year 1. Note: Round your answers to the nearest dollar amount. b-3. Prepare the statement of cash flows for Year 1. Note: Enter amounts to be deducted and cash outflows with a minus sign. Round your answers to the nearest whole dollar. \begin{tabular}{|l|l|l|} \hline & & \\ \hline Net cash flows from operating activities & & $ \\ \hline Cash flows from investing activities: & & \\ \hline Cash flows from financing activities & & \\ \hline & & \\ \hline & & \\ \hline Net cash flows from financing activities & & \\ \hline Net change in cash & & \\ \hline Ending cash balance & & \\ \hline \end{tabular}