The following transactions apply to Hooper Co. for Year 1, its first year of operations: 1. Issued $100,000 of common stock for cash. 2. Provided $100,000 of services on account. 3. Collected $88,000 cash from accounts receivable. 4. Loaned $11,000 to Mosby Co. on November 30, Year 1. The note had a one-year term to maturity and a 6 percent interest rate. 5. Paid $34,000 of salaries expense for the year. 6. Paid a $2,500 dividend to the stockholders. 7. Recorded the accrued interest on December 31, Year 1 (see item 4). 8. Estimated that 1 percent of service revenue will be uncollectible. HOOPER CO. Horizontal Statements Model Balance Sheet Equity Income Statement Event No. Assets NRV Notes Accounts Receivable Receivable Cash Interest Receivable + Statement of Cash Flow Common Stock Retained Earnings + Revenue Expense = Net Income 1. + + 2. + + + + + + 3. + + = 4. + + + + + + + 5. + + + + + + + + + + 6. + + + + + + + + + + + + + 7. + + + 8. + Total + + + Req B Inc Stmt Reg B Bal Sheet Reg B Stmt Cash Flows Prepare the income statement for Year 1. (Round intermediate HOOPER CO. Income Statement For the Year Ended December 31, Year 1 Operating expenses Total operating expenses Non-Operating Items Req B Inc Stmt Req B Bal Sheet Req B Stmt Cash Flows Prepare the balance sheet for Year 1. (Round intermediate calculations and fi HOOPER CO. Balance Sheet As of the End of the Year 1 Assets Total assets Liabilities Stockholders' equity Total stockholders' equity Total liabilities and stockholders' equity Req B Inc Stmt Reg B Bal Sheet Req B Stmt Cash Flows Prepare the statement of cash flows for Year 1. (Cash outflows shou HOOPER CO. Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities Net cash flow from operating activities Cash flows from investing activities Net cash flow from investing activities Cash flows from financing activities Net cash flow from financing activities Net change in cash Ending cash balance