The following events pertain to Jefferson Hardware Store. Jefferson uses the perpetual inventory method. 1. Jefferson Hardware was started on January 1, Year 1, when it acquired $5,000 cash by issuing common stock. 2. The store paid $4,500 cash to purchase inventory. 3. Jefferson sold for $6,000 cash inventory that cost $3,500. 4. During Year 1 , the store paid $2,000 cash for operating expenses. Required Record the events in a financial statements model. Then prepare an income statement and a balance sheet. EXERCISE 3-6B (Sol. cont.) c. : they (would/would not) be eligible for the discount. d. Fashion Furnishings Effect of Events on the Financial Statements e. Fashion Furnishings would be willing to pay within the discount period in order to