1. Record the preceding transactions in the horizontal statements model. Also, in the Cash Flows column, classify the cash flows as operating activities (OA), investing activities (IA), or financing activities (FA). If the element is not affected by the event, leave the cell blank. The first event is shown as an example. (Enter any decreases to account balances and cash outflows with a minus sign. Not all cells will require entry.)

! Required information (The following information applies to the questions displayed below.] Maben Company was started on January 1, Year 1, and experienced the following events during its first year of operation: 1. Acquired $29,000 cash from the issue of common stock. 2. Borrowed $41,000 cash from National Bank. 3. Earned cash revenues of $57,000 for performing services. 4. Paid cash expenses of $49,500. 5. Paid a $1,900 cash dividend to the stockholders. 6. Acquired an additional $29,000 cash from the issue of common stock. 7. Paid $10,000 cash to reduce the principal balance of the bank note. 8. Paid $52,000 cash to purchase land. 9. Determined that the market value of the land is $73,000. MABEN COMPANY Horizontal Statements Model for Year 1 Income Statement Event No. Assets Balance Sheet = Liabilities + Stockholders' Equity Notes Common Payable Stock Earnings + 29,000 + Statement of Cash Flows Net Income Expense = Retained Revenue Cash Land + + + 1. 29,000 + 29,000 FA 2. + + + 3. + + + 4. + + + 5. = 6. + + + 7. ++++++ + + + + + + 8. + 9. + Total 29,000 + 0 = 0 + 29,000 + 0 0 0 0 29,000