THE PET STORE Horizontal Statements Model for Year 1 The Pet Store experienced the following events for the Year 1 accounting period: 1. Acquired $80,000 cash from the issue of common stock. 2. Purchased $81,000 of inventory on account. 3. Received goods purchased in Event 2 FOB shipping point; transportation cost of $850 paid in cash. 4. Sold inventory on account that cost $47,000 for $89,000. 5. Transportation cost on the goods sold in Event 4 was $730. The goods were shipped FOB destination. Cash was paid for the transportation cost. 6. Customer in Event 4 returned $5,940 worth of goods that had a cost of $3,020. 7. Collected $72,980 cash from accounts recelvable. 8. Paid $67,200 cash on accounts payable. 9. Paid $3,500 for advertising expense. 10. Paid $3,180 cash for insurance expense. Required: a. Which of these events affect period (selling and administrative) costs? Which result in product costs? If neither, label the transaction NA. THE PET STORE Horizontal Statements Model for Year 1