The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company recelved $49,500 from the issue of common stock. 2. Purchased equipment inventory of $174,000 on account. 3. Sold equipment for $190,500 cash (not including sales tax). Sales tax of 6 percent is collected when the merchandise is sold. The merchandise had a cost of $115,500. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Poid the sales tax to the state agency on $140,500 of the sales. 6. On September 1, Year 1, borrowed $22,000 from the local bank. The note had a 6 percent interest rate and matured on March 1 , Year 2. 7. Paid $5,600 for warranty repairs during the year, 8. Pald operating expenses of $54,000 for the year. 9. Paid $125,900 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Required: a. Use a horizontal financial statements model to show how each event affects the balance sheet, income statement, and statement of cash flows, More specifically, record the amounts of the events into the model. Also, in the Statement of Cash Flows column, classify the cash flows as operating activities (OA), investing octivities (IA), or financing activities (FA). b. Prepare the income statement, balance sheet, and statement of cash flows for Year 1. c. What is the total amount of current liabilities at December 31, Year 1 ? Complete this question by entering your answers in the tabs belc Prepare the income statement for Year 1. Note: Round your answers to the nearest whole dollar. Prepare the balance sheet for Year 1 . Note: Round your answers to the nearest whole dollar. Prepare the statement of cash flows for Year 1. Note: Cash outflows should be indicated with a minus sign. What is the total amount of current liabilities at December 31, Year 1 ? Note: Round your answer to the nearest whole dollar