Sellers Construction Company purchased a compressor for $100,000 cash. It had an estimated useful life of four years and a $9,800 salvage value. At the beginning of the third year of use, the company spent an additional $6,190 related to the equipment. The company's financial condition just prior to this expenditure is shown in the following statements model: Equity Rev. Exp. Net Inc. Cash Flow Cash 12,630 Assets Book Value of Compressor 54,900 Com. Stk. 25,300 + Ret. Earn 42, 230 NA NA NA NA Required Record the $6,190 expenditure in the statements model under each of the following independent assumptions: (In the Cash Flow column, use the initials "OA" for operating activities, "FA" for financing activities, and "IA" for investing activity. Enter any decreases to account balances with a minus sign. Not all cells in the "Cash Flow" column may require an input - leave cells blank if there is no corresponding input needed.) a. The expenditure was for routine maintenance. b. The expenditure extended the compressor's life. c. The expenditure improved the compressor's operating capacity. Revenue Expenses Net Income Cash Flow Cash Assets Book Value of + Compressor 54.900 Stockholders' Equity Common Retained Stock Earnings 25,300 42 230 12,630 a + C Sellers Construction Company purchased a compressor for $101,000 cash. It had an estimated useful life of four years and a $11,900 salvage value. At the beginning of the third year of use, the company spent an additional $9,990 related to the equipment. The company's financial condition just prior to this expenditure is shown in the following statements model: Equity Rev. Exp. Net Inc. Cash Flow Assets Book Value of Compressor 56,450 Cash 13,640 Com. Stk. 24,200 Ret. Earn. 45, 890 + NA NA NA NA Required Record the $9,990 expenditure in the statements model under each of the following independent assumptions: (In the Cash Flow column, use the initials "OA" for operating activities, "FA" for financing activities, and "IA" for investing activity. Enter any decreases to account balances with a minus sign. Not all cells in the "Cash Flow" column may require an input - leave cells blank it there is no corresponding input needed.) a. The expenditure was for routine maintenance. b. The expenditure extended the compressor's life. C. The expenditure improved the compressor's operating capacity Revenue Expenses Net Income Cash Flow Assets Book Value of Cash Compressor 13,640 + 56,450 - Stockholders' Equity Common Retained Stock Earnings 24,200 - 45,890 a b. + c