The following transactions apply to Ozark Sales for Year 1: . The business was started when the company received 548 500 from the issue of commeon stock. . Purchased equipment inventory of $175,000 on account. . Sold equipment for $201500 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $126,500. 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. Paid the sales tax to the state agency on $151,500 of the sales. 6. On September 1, Year 1, borrowed $21,500 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 $52,500 for the year. 8. Paid $124.700 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. &. WK Required a. Record the given transactions in a horizontal statements model. b. Prepare the income statement, balance sheet, and statement of cash flows for Year 1. . What is the total amount of current liabilities at December 31, Year 17 Complete this question by entering your answers in the tabs below. Req A Req B Inc Req B Bal Req B Stmt Stmit Sheet Cash Flows Req C Prepare the income statement for Year 1. (Round your answers to the nearest whole dollar.) 1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $175,000 on account. 3. Sold equipment for $201,500 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $126,500. 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. Paid the sales tax to the state agency on $151,500 of the sales. 6. On September 1. Year 1, borrowed $21,500 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 $52,500 for the year. 9. Paid $124,700 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Required a. Record the given transactions in a horizontal statements model. 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 below. Reg A Req B Inc Req B Bal Req B Stmt Strt Sheet Cash Flows Req C Prepare the balance sheet for Year 1. (Round your answers to the nearest whole dollar.) OZARK SALES Balance Sheet As of December 31, Year 1 Assets Total assets S Liabilities Total liabilities S Stockholders' equity Total stockholders' equity Total liabilities and stockholders' equity S1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $175,000 on account. 3. Sold equipment for $201,500 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $126,500. 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. Paid the sales tax to the state agency on $151,500 of the sales. 6. On September 1. Year 1. borrowed $21,500 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 $52,500 for the year. 9. Paid $124,700 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Required a. Record the given transactions in a horizontal statements model. 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 below. Reg A Req B Inc Req B Bal Req B Stmt Reg C Stmt Sheet Cash Flows Prepare the statement of cash flows for Year 1. (Cash outflows should be indicated with a minus sign.) OZARK SALES 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 Cash flows from financing activities Net cash flows from financing activities Net change in cash Ending cash balance $ 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 $175,000 on account. 3. Sold equipment for $201,500 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $126,500. 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. Paid the sales tax to the state agency on $151,500 of the sales. 6. On September 1. Year 1. borrowed $21,500 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 $52,500 for the year. 9. Paid $124,700 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Required a. Record the given transactions in a horizontal statements model. 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 below. Req A Req B Inc Req B Bal Req B Stimt Stmt Sheet Cash Flows Req C What is the total amount of current liabilities at December 31, Year 1? (Round your answer to the nearest whole dollar.) Total current liabilities 1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $175,000 on account. 3. Sold equipment for $201,500 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $126,500. 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. Paid the sales tax to the state agency on $151,500 of the sales. 6. On September 1. Year 1. borrowed $21.500 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 $52,500 for the year. 9. Paid $124,700 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Required a. Record the given transactions in a horizontal statements model. 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? * Answer is not complete. Complete this question by entering your answers in the tabs below. Reg A Req B Inc Req B Bal Req B Stmt Stmt Sheet Cash Flows Reg C Record the given transactions in a horizontal statements model. (Enter any decreases to account balances and cash outflows with a minus sign. In the Cash Flow column, indicate whether the item is an operating activity (OA), an investing activity (IA), or a financing activity (FA), and leave the cell blank if there is no effect. Do not round intermediate calculations and round your answers to the nearest whole dollar amounts. Not all cells will require entry.) Show less A OZARK SALES Horizontal Statements Model Balance Sheet Income Statement Event Assets Liabilities Stockholders' Equity No. Net Statement of Cash Flows Accounts Sales Cash Merchandise Tax Warranty Interest Note Common Retained Revenue Expense Income Inventory Payable Payable Payable Payable Payable Stock Earnings 1. 48,500 + + + + 18,500 + FA 2 . 175,000 = 175,000 LA 3a. 215,605 + + + + + + + 201,500 201,500 11 201,500 201.500 0 OA O 3b. (126,500) : + (126.500) 126,500 (126,500) 126.500 LA 4. 8,060 + + (8.060) 8,080 = (8,060) 8.060 X LA 5 . (10.605) + (10,605) + + + + 11 OA O + + 6 . 21,500 + + + + + 21,500 + + FA 7 . (5,900) + (5,900) + 1+ + OA (52.500) + + (52.500) 62,500= (52,500) |52.500 x 0 + + + + 8 . (124,700) + OA + + + + 10 + 430 + (430) 430 = 430 X IA Bal 91,900 + 48,500 175,000 + (10,605) 2, 160 + 430 + 21,500 + 48,500 14,010 201,500 187,490 14,440 388,990