To support herself while attending school, Daun Deloch sold stereo systems to other students. During the first year of operations, Deloch purchased the stereo systems for $$167,000$ and sold them for $$314,000$ cash. She provided her customers with a one$-$year warranty against defects in parts and labor. Based on industry standards, she estimated that warranty claims would amount to $5$ percent of sales. During the year, she paid $$2,270$ cash to replace a defective tuner.

Required:

a$-1.$ Prepare an income statement for Deloch's first year of operation.

a$-2.$ Prepare a statement of cash flows for Deloch's first year of operation.

Complete this question by entering your answers in the tabs below.

Req A$1$

Req A$2$

Prepare an income statement for Deloch's first year of operation.

$\backslash$table$[[$DELOCH STEREOS$],[$Income Statement$],[,],[,],[,],[,],[,]]$