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. Pald $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 Record the above transactions in a horizontal statements model 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 12 Complete this question by entering your answers in the tabs below. RA Rego to 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 CLA), a financing activity (A), or ne change in cash (NC). If the element is not affected by the event, leave the cell blank Enter any decreases to account balances and thout how with a minus sign. Not alles is require entry) Show less GULF SEAFOOD Horizontal Statement Model Balance Sheet Income state Statement of Cash Event Aasete Equity Revenue Expense Net Income Plows uv Common Retained Equipment Stock Earning 1 60.000 60.000 60.000 VA 2 140.000 40.000 140.0001 3 72.000 72.000 72.000 72.000 TO 4 125.000 (250001 25.000 72.000 25.000 5 9,000 (25.000) 87000 40.000 50.000 47.000 72.000 14.000 47.000 67,000 INC 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. 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, balonce sheet? d. Would the cash flow from operating activities be affected by depreciation in Year 1? Complete this question by entering your answers in the tabs below. Reg A Req BtoD 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? b. Depreciation expense on Your 1 income statement c. Accumulated depreciation on December 31, Year 2, balance sheet d. Would the cash flow from operating activities be affected by depreciation in Year 1?