ve & Exit Sub Cowboy Ice Cream (CIC) issued $19,500 of common stock when the company was started. In addition, CIC borrowed $55,000 from a local bank on July 1, Year 1 The note had a 5 percent annual interest rate and a one-year term to maturity, CIC recognized $82,000 of revenue on account in Year 1 and $96,600 of revenue on account in Year 2. Cash collections of accounts receivable were $65,100 in Year 1 and $75,300 in Year 2. CIC paid $48,500 of other operating expenses in Year 1 and $54,500 of other operating expenses in Year 2 CIC repaid the loan and interest at the maturity date. Required a. Organize the information in accounts under an accounting equation. b. What amount of net cash flow from operating activities would be reported on the Year 1 cash flow statement? c. What amount of interest expense would be reported on the Year 1 income statement? d. What amount of total liabilities would be reported on the December 31, Year 1, balance sheet? e. What amount of retained earnings would be reported on the December 31, Year 1, balance sheet? f. What amount of cash flow from financing activities would be reported on the Year 1 statement of cash flows? g. What amount of interest expense would be reported on the Year 2 income statement? h. What amount of cash flows from operating activities would be reported on the Year 2 cash flow statement? i. What amount of assets would be reported on the December 31, Year 2, balance sheet? Year 1 and Year 2 Liabilities Assets Event Cash Accounts Receivable Notes Payable Year 1 1. 2. N 3. + + baved Stockholders' Equity Interest Payable Common Stock Retained Earnings 4. 5. ++ 6. +++ End. Bal. 0+ 0 = 0 0+ 0+ Year 2 Beg.bal 1. 2. 3. 4. 5. ++++ + End. bal.. 0+ + +++ + ++ + + + ++ + 0 = 0+ 0+ 0+ 0 0 Keq B to I b. What amount of net cash flow from operating activities would be reported on the Year 1 cash flow statement? c. What amount of interest expense would be reported on the Year 1 income statement? d. What amount of total liabilities would be reported on the December 31, Year 1, balance sheet? e. What amount of retained earnings would be reported on the December 31, Year 1, balance sheet? f. What amount of cash flow from financing activities would be reported on the Year 1 statement of cash flows? g. What amount of interest expense would be reported on the Year 2 income statement? h. What amount of cash flows from operating activities would be reported on the Year 2 cash flow statement? i. What amount of assets would be reported on the December 31, Year 2, balance sheet? (For all requirements, enter cash outflows as negative amounts.) b. Net cash flow from operating activities C. Interest expense d. Total liabilities e. Retained earnings f. Cash flow from financing activities Interest expense Cash flows from operating activities Amount of assets < Req A Req B to 1 >> Show less A