Can you please verify my work. I am concerned about the C section and the labeling of the operating expenses. Thank you.

The cash flows from operating activites has me confused, especially, the inflow, outflow, and cash paid.

I don't know which category would be correct. Thank you.

Complete this question by entering your answers in the tabs below. Prepare an income statement for the month ending September 30. DANA'S IMPORTS Effect of Transactions on Financial Statements Using Horizontal Statements Model Balance Sheet Income Statement Prepare a statement of cash flows for the month ending September 30. (Cash outflows should be indicated with a minus sian.) Record each event in a statements model like the following one. In the Cash Flow column, use OA to designate operating activi change in cash. If the element is not affected by the event, leave the cell blank. The first event is recorded as an example. (No and cash outflows with a minus sion.) The following events were completed by Dana's Imports in September, Year 1: Sept. 1 Acquired $54,000 cash from the issue of common stock. 1 Purchased $35,000 of merchandise on account with terms 2/10,n/30. 5 Paid $1,000 cash for freight to obtain merchandise purchased on September 1 . 8 Sold merchandise that cost $12,500 to customers for $18,000 on account, with terms 2/10, n/30. 8 Returned $1,100 of defective merchandise from the September 1 purchase to the supplier. 10 Paid cash for the balance due on the merchandise purchased on September 1. 20 Received cash from customers of September 8 sale in settlement of the account balances, but not within the discount period. 30 Paid $3,450 cash for selling expenses. Required a. Record each event in a statements model like the following one. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, or NC for net change in cash. If the element is not affected by the event, leave the cell blank. The first event is recorded as an example. b. Prepare an income statement for the month ending September 30. c. Prepare a statement of cash flows for the month ending September 30