The following transactions apply to Ozark Sales for Year 1: 1. The business was started when...

 

  
 

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The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $174,000 on account. 3. Sold equipment for $192,000 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $117,000. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Paid the sales tax to the state agency on $142,000 of the sales. 6. On September 1, Year 1, borrowed $19,500 from the local bank. The note had a 5 percent interest rate and matured on March 1, Year 2. 7. Paid $5,500 for warranty repairs during the year. 8. Paid operating expenses of $56,000 for the year. 9. Paid $125,300 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Exercise 9-8A (Algo) Part b b-1. Prepare the income statement for Year 1. Note: Round your answers to the nearest dollar amount. OZARK SALES income Statement For the Year Ended Darambor 14 Year Exercise 9-8A (Algo) Part b b-1. Prepare the income statement for Year 1. Note: Round your answers to the nearest dollar amount. Expenses Total expenses OZARK SALES Income Statement For the Year Ended December 31, Year 1 0 0 Required information b-2. Prepare the balance sheet for Year 1. Note: Round your answers to the nearest dollar amount. Assets Total assets Liabilities Total liabilities Stockholders' equity OZARK SALES Balance Sheet As of December 31, Year 1 Total stockholders' equity Total liabilities and stockholders' equity $ 0 0 0 b-3. Prepare the statement of cash flows for Year 1. Note: Enter amounts to be deducted and cash outflows with a minus sign. Round your answers to the nearest whole dollar. OZARK SALES Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities: Outflow for expenses Outflow for loan Outflow for sales tax Outflow for stock issue Outflow to purchase inventory Cash flows from investing activities: Cash flows from financing activities Net cash flows from financing activities Net change in cash Ending cash balance S 5 0 The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $174,000 on account. 3. Sold equipment for $192,000 cash (not including sales tax). Sales tax of 8 percent is collected when the merchandise is sold. The merchandise had a cost of $117,000. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Paid the sales tax to the state agency on $142,000 of the sales. 6. On September 1, Year 1, borrowed $19,500 from the local bank. The note had a 5 percent interest rate and matured on March 1, Year 2. 7. Paid $5,500 for warranty repairs during the year. 8. Paid operating expenses of $56,000 for the year. 9. Paid $125,300 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. Exercise 9-8A (Algo) Part b b-1. Prepare the income statement for Year 1. Note: Round your answers to the nearest dollar amount. OZARK SALES income Statement For the Year Ended Darambor 14 Year Exercise 9-8A (Algo) Part b b-1. Prepare the income statement for Year 1. Note: Round your answers to the nearest dollar amount. Expenses Total expenses OZARK SALES Income Statement For the Year Ended December 31, Year 1 0 0 Required information b-2. Prepare the balance sheet for Year 1. Note: Round your answers to the nearest dollar amount. Assets Total assets Liabilities Total liabilities Stockholders' equity OZARK SALES Balance Sheet As of December 31, Year 1 Total stockholders' equity Total liabilities and stockholders' equity $ 0 0 0 b-3. Prepare the statement of cash flows for Year 1. Note: Enter amounts to be deducted and cash outflows with a minus sign. Round your answers to the nearest whole dollar. OZARK SALES Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities: Outflow for expenses Outflow for loan Outflow for sales tax Outflow for stock issue Outflow to purchase inventory Cash flows from investing activities: Cash flows from financing activities Net cash flows from financing activities Net change in cash Ending cash balance S 5 0