[The following information applies to the questions displayed below.] The following transactions apply to Ozark Sales for Year 1 : 1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $177,500 on account. 3. Sold equipment for $197,000 cash (not including sales tax). Sales tax of 6 percent is collected when the merchandise is sold. The merchandise had a cost of $122,000. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 3 percent of sales. 5. Paid the sales tax to the state agency on $147,000 of the sales. 6. On September 1 , Year 1 , borrowed $19,500 from the local bank. The note had a 6 percent interest rate and matured on March 1, Year 2. 7. Paid $5,900 for warranty repairs during the year. 8. Paid operating expenses of $55,500 for the year. 9. Paid $124,100 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Exercise 9-8A (Algo) Part b b-1. Prepare the income statement for Year 1. Note: Round your answers to the nearest dollar amount