Waddell Company had the following balances in its accounting records as of December 31, Year 1: Assets Cash Accounts receivable Land Total Liabilities and Stockholders' Equity $ 35,000 9,000 51,000 Accounts payable Common stock Retained earnings $ 7,500 40,000 47,500 $ 95,000 Total $ 95,000 The following accounting events apply to Waddell Company's Year 2 fiscal year: January 1 Acquired $20,000 cash from the issue of common stock. Paid a $2,000 cash dividend to the stockholders. Purchased additional land that cost $15,000 cash. Made a cash payment on accounts payable of $5,500. March 1 April 1 May 1 September 1 December 31 Sold land for $30,000 cash that had originally cost $30,000. Earned $58,000 of service revenue on account during the year. Received cash collections from accounts receivable amounting to $46,000. Incurred other operating expenses on account during the year that amounted to $28,000. The land purchased on April 1 had a market value of $20,000. Required: Show the effects of the events on the financial statements using the following horizontal statements model. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, and NC for net change in cash. a. What amount would Waddell report for land on the balance sheet? b. What amount of net cash flow from operating activities would be reported on the statement of cash flows? c. What amount of total liabilities would be reported on the balance sheet? d. What amount of net cash flow from investing activities would be reported on the statement of cash flows? e. What amount of total expenses would be reported on the income statement? f. What amount of service revenue would be reported on the income statement? g. What amount of cash flows from financing activities would be reported on the statement of cash flows? h. What amount of net income would be reported on the income statement? i. What amount of retained earnings would be reported on the balance sheet? Complete this question by entering your answers in the tabs below. Accounting Equation Req A to I Show the effects of the events on the financial statements using the following horizontal statements model. In the Cash Flow column, use OA to designate operating activ and NC for net change in cash. Note: Enter any decreases to account balances with a minus sign. Not all cells in the "Statement of Cash Flows" column may require an input - leave cells blank if there is WADDELL COMPANY Horizontal Financial Statements Model for Year 2 Balance Sheet Income Statement Statement of Cash Stockholders' Equity Flows Common Stock Retained Earnings Revenue Expenses Net Income + + Date Cash Assets Accounts Receivable = Liabilities Accounts Land Payable Beginning + 1/1 + + + 3/1 + = + + 4/1 + = + + 5/1 + = + + 9/1 + = + + 12/31 + = + + 12/31 + = + + 12/31 + = + + 12/31 + = + + Totals + = + + Complete this question by entering your answers in the tabs below. Assessment Tool Frame A to I Equation a. What amount would Waddell report for land on the balance sheet? b. What amount of net cash flow from operating activities would be reported on the statement of cash flows? c. What amount of total liabilities would be reported on the balance sheet? d. What amount of net cash flow from investing activities would be reported on the statement of cash flows? e. What amount of total expenses would be reported on the income statement? f. What amount of service revenue would be reported on the income statement? g. What amount of cash flows from financing activities would be reported on the statement of cash flows? h. What amount of net income would be reported on the income statement? i. What amount of retained earnings would be reported on the balance sheet? a. Land b. Net cash flow from operating activities c. Total liabilities d. Net cash flow from investing activities e. Total expenses f. Total revenue g. Cash flows from financing activities h. Net income i. Retained earnings < Accounting Equation Req A to I > Show less