Sellers Construction Company purchased a compressor for $105,600 cash. It had an estimated useful life of four years and a $8,000 salvage value. At the beginning of the third year of use, the company spent an additional $8,400 related to the equipment. The company's financial condition just prior to this expenditure is shown in the following statements model: Cash 10,920 Required Assets Equity Rev. Exp. Net Inc. Cash Flow + Book Value of Compressor 56,800 + Com. Stk. 22,300 + Ret. Earn. 45,420 NA NA NA NA Record the $8,400 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. a b. C. Assets Cash + 10,920 + Book Value of Compressor 56,800 Stockholders' Equity Revenue Expenses Net Income Cash Flow Common Stock Retained Earnings 22,300+ 45,420 + + =