Seven Submit Check my work Exercise 10-7 Recording product versus SG&A costs in a financial statements model LO 10-3 Weib Manufacturing experienced the following events during its first accounting period 1. Recognized revenue from cash sale of products. 2. Recognized cost of goods sold from sale referenced in Event 1 3. Acquired cash by issuing common stock. 4. Paid cash to purchase raw materials that were used to make products 5. Paid wages to production workers. 6. Paid salaries to administrative staff. 7. Recognized depreciation on manufacturing equipment 8. Recognized depreciation on office furniture. Required Use the following horizontal financial statements model to show how each event affects the GAAP based balance sheet and income statement. Indicate whether the event increases (1), decreases (D), or has no effect leave the cell blank) on each element of the financial statements. The first transaction has been recorded as an example. Show accumulated depreciation as a decrease in the book value of the appropriate asset account. (Indicate whether the item is an operating activity (OA). Investing activity (IA), of financing activity (FA). If an element was not affected by the event, leave the cell blank.) Income Statement Equity Assets Next > Help Save & Exit Su Check my w Exercise 10-7 Recording product versus SG&A costs in a financial statements model LO 10-3 Weib Manufacturing experienced the following events during its first accounting period: 1. Recognized revenue from cash sale of products. 2. Recognized cost of goods sold from sale referenced in Event 1. 3. Acquired cash by issuing common stock 4. Paid cash to purchase raw materials that were used to make products, 5. Paid wages to production workers. 6. Paid salaries to administrative staff. 7. Recognized depreciation on manufacturing equipment. 8. Recognized depreciation on office furniture. equipment Required Use the following horizontal financial statements model to show how each event affects the GAAP-based balance sheet and income statement. Indicate whether the event increases (U), decreases (D), or has no effect (leave the cell blank) on each element of the financial statements. The first transaction has been recorded as an example. Show accumulated depreciation as a decrease in the book value of the appropriate asset account. (Indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.) Equity Income Statement Assets Check my work Required Use the following horizontal financial statements model to show how each event affects the GAAP-based balance sheet and income statement. Indicate whether the event increases (0), decreases (D), or has no effect (leave the cell blank) on each element of the financial statements. The first transaction has been recorded as an example. Show accumulated depreciation as a decrease in the book value of the appropriate asset account. (Indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.) Equity Income Statement Event No. Inventory Manut. Office Cash Cash Flow Equip. Ear Rev. - Exp. - Net Inc. 1. 3. search