The following events apply to Lewis and Harper, a public accounting firm, for the Year 1 accounting period: 1. Performed $74,500 of services for clients on account. 2. Performed $45,000 of services for cash. 3. Incurred $38,000 of other operating expenses on account. 4. Paid $17,500 cash to an employee for salary. 5. Collected $60,000 cash from accounts receivable. 6. Paid $16,000 cash on accounts payable. 7. Paid an $6,000 cash dividend to the stockholders. 8. Accrued salaries were $3,000 at the end of Year 1. Required a. Show the effects of the events on the financial statements using the following horizontal statements model. In the Statement of Cash Flows column, use OA to designate operating activity, IA for investment activity, FA for financing activity, and NC for net change in cash. The first event is recorded as an example. b. What is the amount of total assets at the end of Year 1? c. What is the balance of accounts receivable at the end of Year 1? d. What is the balance of accounts payable at the end of Year 1? f. What is net income for Year 1? g. What is the amount of net cash flow from operating activities for Year 1? Show the effects of the events on the financial statements using the following horizontal statements model. In the Cash Flow column, use OA to designate operating activity, IA for in activity, FA for financing activity, and NC for net change in cash. The first event is recorded as an example. (Enter any decreases to account balances with a minus sign. Not all cells ir "Statement of Cash Flows" column may require an input - leave cells blank if there is no corresponding input needed.) Shou LEWIS AND HARPER Horizontal Financial Statement Model For Accounting Year 1 Liabilities Stockholders' + Income Statement Equity Accounts Salaries Retained + Revenue Expense = Net Income Payable Payable Earnings 74,500 74,500 74,500 Assets Event Statement of Cash Flows Cash + Accounts Receivable 74,500 = 1. + + 2. + + 3. + + = 4. + = + + - 5. + + + 6. + + 7. + + + 8. + + + Totals 0 + 74,500 = 0 + 0 + 74,500 74,500 0 = 74,500 0 b. What is the amount of total assets at the end of Year 1? c. What is the balance of accounts receivable at the end of Year 1? d. What is the balance of accounts payable at the end of Year 1? f. What is net income for Year 1? g. What is the amount of net cash flow from operating activities for Year 1? Show less Year 1 b Total assets c. Accounts receivable d. Accounts payable f. Net income g. Net cash flow from operating activities for Year 1