The following events apply to Lewis and Harper, a public accounting firm, for the Year 1 accounting period: 1. Performed $72,000 of services for clients on account. 2. Performed $44,000 of services for cash 3. Incurred $36,000 of other operating expenses on account. 4. Paid $17,000 cash to an employee for salary. 5. Collected $60,000 cash from accounts receivablee 6. Paid $19,000 cash on accounts payable 7. Paid an $6,000 cash dividend to the stockholders. 8. Accrued salaries were $2,800 at the end of Year 1. Required a. Show the effects of the events on the financial statements using a horizontal financial statements model like the following one. In the Statement of Cash Flows column, use OA to designate operating activity, IA for investment activity, FA for financing activity, NC for net change in cash and NA to indicate the element is not affected by the event. The first event is recorded as an example. (Enter any decreases to account balances and cash outflows with a minus sign. In the Statement of Cash Flow column, select "NA" if there is no effect.) S AND HARPER Horizontal Financial Statement Model For Accounting Year 1 Stockholders +Equity Assets Liabilities Income Statement Statement of Cash Flow Event Accounts Payable Salaries+ able Retained Earnings Cash Accounts Revenue |-| Expense |=Net Income Receivable 72,000 72,000 72,000- 72,000 NA