American Reserve Rare Coins (ARRC) was formed on January 1, 2018. Additional data for the year follow: (Click the icon to view the data.) Read the requirements. The purpose of the statement of cash tIOWS IS to snow where casn came from and now casn was spent during the period. Requirement 2. Prepare ARRC's income statement for the year ended December 31, 2018. Use the single-step format, with all revenues listed together and all expenses listed together. American Reserve Rare Coins 1 Requirements Income Statement Year Ended December 31, 2018 Revenue: 1. Expenses: What is the purpose of the statement of cash flows? Prepare ARRC's income statement for the year ended December 31, 2018. Use the single-step format, with all revenues listed together and all expenses listed together. Prepare ARRC's balance sheet at December 31, 2018. Prepare ARRC's statement of cash flows using the indirect method for the year ended December 31, 2018. 4. Print Done Total Expenses Net Income i More Info a. On January 1, 2018, ARRC issued no par common stock for $400,000. b. Early in January, ARRC made the following cash payments: 1. For store fixtures, $56,000 2. For merchandise inventory, $250,000 3. For rent expense on a store building, $19,000 c. Later in the year, ARRC purchased merchandise inventory on account for $242,000. Before year-end, ARRC paid $162,000 of this accounts payable. d. During 2018, ARRC sold 2,700 units of merchandise inventory for $200 each. Before year-end, the company collected 80% of this amount. Cost of goods sold for the year was $330,000, and ending merchandise inventory totaled $162,000. e. The store employs three people. The combined annual payroll is $82,000, of which ARRC still owes $7,000 at year-end. f. At the end of the year, ARRC paid income tax of $16,000. There are no income taxes payable. g. Late in 2018, ARRC paid cash dividends of $42,000. h. For store fixtures, ARRC uses the straight-line depreciation method, over five years, with zero residual value. Print Done