The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $50,000 from the issue of common stock. 2. Purchased equipment inventory of $177,000 on account. 3. Sold equipment for $196,500 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $121,500. 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 $146,500 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. Pald $5,700 for warranty repairs during the year. 8. Pald operating expenses of $53,000 for the year. 9. Pald $124,200 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 Reginc Stmt Reqs Bal Sheet Rege Stmt 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 cffect. Do not round Intermediate calculations and round your answers to the nearest whole dollar amounts. Not all cells will require entry.) Show less Assets Event Na. Statement of Cash Flows Cash Merchandise Inventory 1. OZARK SALES Horizontal Statements Model Balance Sheet Income Statement Liabilities Stockholders' Equity Net Accounts Sales Tax Warranty + Interest - Notes Common Retained Revenue - Expense - Income Payable Payable Payable Payable Payable Stock Earnings . - + 1 1.1 + + +1 - + 1.1 1.1 1.1 J- 1.1 1+1 11 1.1 1 1-1 1.1 F 1.1 1 1+1 EL 1. J. T. + 1+1 3b 4. 1- = 1:1 5 5 + + 1 - 7. + 8. S I- 10 Bal. 0-1 0 - ol- 0+ 0. 0-1 01- Req A Req B Inc Stmt Reg B Bal Sheet Req B Stmt Cash Flows Reg C Prepare the income statement for Year 1. (Round your answers to the nearest whole dollar.) OZARK SALES Income Statement For the Year Ended December 31, Year 1 Sales revenue Cost of goods sold Gross margin Expenses Operating expenses Warranty expenses Total operating expenses Operating income Net income Req A Req B Inc Stmt Req B Bal Sheet Req B Stmt Cash Flows Reqc 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 Cash Merchandise inventory 0 $ $ 0 Total assets Liabilities Accounts payable Sales tax payable Notes payable Warranties payable Interest payable 0 0 $ 0 Total liabilities Stockholders' equity Common stock Retained earnings 0 0 Total stockholders' equity Total liabilities and stockholders' equity $ $ 0 OZARK SALES Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities Inflow from customers Inflow from sales tax Outflow for expenses Outflow for sales tax Outflow to purchase inventory 0 $ $ 0 0 Net cash flow from operating activities Cash flows from investing activities Cash flows from financing activities Inflow from loan Inflow from stock issue 0 0 0 Net cash flows from financing activities Net change in cash Plus: Beginning cash balance Ending cash balance 0 $ 0 What is the total amount of current liabilities at December 31, Year 1? (Round your answer to the nearest whole dollar.) Total current liabilities