The following events apply to Gulf Seafood for the Year 1 fiscal year: 1. The company started when It acquired $17,000 cash by Issulng common stock. 2. Purchased a new cooktop that cost $12,300 cash. 3. Earned $22,200 in cash revenue. 4. Pald $11,900 cash for salarles expense. 5. Adjusted the records to reflect the use of the cooktop. Purchased on January 1, Year 1, the cooktop has an expected useful Iffe of four years and an estlmated salvage value of $2,500. Use straight-IIne depreclation. The adjusting entry was made as of December 31, Year 1. Required a. Record the above transactions in a horizontal statements model. b. What amount of depreclation expense would Gulf Seafood report on the Year 1 Income statement? c. What amount of accumulated depreclation would Gulf Seafood report on the December 31, Year 2, balance sheet? d. Would the cash flow from operating actlvitles be affected by depreclation in Year 1? Complete this question by entering your answers in the tabs below. Record the previous transactions in a horizontal statements model. Also, in the Statement of Cash Flows column, classify the cash flows as operating activities (OA), investing activities (IA), or financing activities (FA). Note: Enter any decreases to account balances and cash outflows with a minus sign. Leave cells blank if no input is needed. Exercise 6-7A (Algo) Effect of depreciation on the accounting equation and financial statements LO 6-2 The following events apply to Gulf Seafood for the Year 1 fiscal year: 1. The company started when It acquired $17,000 cash by Issulng common stock. 2. Purchased a new cooktop that cost $12,300 cash. 3. Earned $22,200 in cash revenue. 4. Pald $11,900 cash for salarles expense. 5. Adjusted the records to reflect the use of the cooktop. Purchased on January 1, Year 1, the cooktop has an expected useful life of four years and an estlmated salvage value of $2,500. Use straight-line depreclation. The adjusting entry was made as of December 31, Year 1. Required a. Record the above transactions In a horizontal statements model. b. What amount of depreclation expense would Gulf Seafood report on the Year 1 Income statement? c. What amount of accumulated depreclation would Gulf Seafood report on the December 31, Year 2, balance sheet? d. Would the cash flow from operating actlvitles be affected by depreclation In Year 1? Complete this question by entering your answers in the tabs below. b. What amount of depreciation expense would Gulf Seafood report on the Year 1 income statement? c. What amount of accumulated depreciation would Gulf Seafood report on the December 31, Year 2, balance sheet? d. Would the cash flow from operating activities be affected by depreciation in Year 1