The following events apply to Gulf Seafood for the Year 1 fiscal year: 1. The company started when it acquired $60,000 cash by issuing common stock. 2. Purchased a new cooktop that cost $40,000 cash. 3. Earned $72,000 in cash revenue. 4. Paid $25,000 cash for salaries 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 estimated salvage value of $4,000. Use straight-line depreciation. The adjusting entry was made as of December 31, Year 1. Required a. Record the above transactions in a horizontal statements model. > Answer is not complete. Complete this question by entering your answers in the tabs below. Req A Req B to D Record the above transactions in a horizontal statements model. (In the Cash Flow column, indicate whether the item is an operating activity (OA), an investing activity (IA), a financing activity (FA), or net change in cash (NC). If the element is not affected by the event, leave the cell blank. Enter any decreases to account balances and cash outflows with a minus sign. Not all cells will require entry.) Event Assets Cash BV Equipment 12345 60,000 (40,000) ( GULF SEAFOOD Horizontal Statements Model Balance Sheet Income Statement Statement of Equity Revenue Expense = Net Income Cash Flows Common Stock Retained Earnings 60,000 = 40,000 = + 60,000 FA = (40,000) IA 3. 72,000 + 72,000 72,000 OA (25,000) + + (25,000) (25,000) C OA + (9,000) + (9,000) Bal. 67,000 + 31,000 = 60,000 + 38,000 0 0 = 0 67,000 Show less