Cowboy Ice Cream reported the following events during Year 1 of operation: 1. Acquired $15,000 cash from the issue of common stock. 2. Purchased inventory for $6,600 cash. 3. Sold inventory costing $3,960 for $6,732 cash. 4. Paid $700 for advertising expense. Required Record the events in a horizontal statement model. In the Cash Flow column, use OA to designate operating activity, IA for investmen 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. (Not every cell will require entry. Enter any decreases to account balances and cash outflows with a minus sign.) COWBOY ICE CREAM COMPANY Effect of Events on the Financial Statements Assets Stockholders' Equity Statement of Cash Flows %3D Expenses Net Income Revenue %3D Event Retained + Inventory= Common Stock Cash Earnings 1. 2. %3D За. %3D 3b, %3D %3! 4. +. Total
Cowboy Ice Cream reported the following events during Year 1 of operation: 1. Acquired $15,000 cash from the issue of common stock. 2. Purchased inventory for $6,600 cash. 3. Sold inventory costing $3,960 for $6,732 cash. 4. Paid $700 for advertising expense. Required Record the events in a horizontal statement model. In the Cash Flow column, use OA to designate operating activity, IA for investmen 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. (Not every cell will require entry. Enter any decreases to account balances and cash outflows with a minus sign.) COWBOY ICE CREAM COMPANY Effect of Events on the Financial Statements Assets Stockholders' Equity Statement of Cash Flows %3D Expenses Net Income Revenue %3D Event Retained + Inventory= Common Stock Cash Earnings 1. 2. %3D За. %3D 3b, %3D %3! 4. +. Total
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
100%
Hello, can I get some help? Thank you so much

Transcribed Image Text:Cowboy Ice Cream reported the following events during Year 1 of operation:
1. Acquired $15,000 cash from the issue of common stock.
2. Purchased inventory for $6600 cash.
3. Sold inventory costing $3,960 for $6,732 cash.
4. Paid $700 for advertising expense.
Required
Record the events in a horizontal statement model. 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. (Not
every cell will require entry. Enter any decreases to account balances and cash outflows with a minus sign.)
COWBOY ICE CREAM COMPANY
Effect of Events on the Financial Statements
Assets
Stockholders' Equity
%3D
Net
Income
Statement of Cash
Flows
Event
Common
Retained
Revenue
Expenses =
Cash
+ Inventory
Stock
Earnings
1.
2.
+
3a.
3b.
%3D
4.
Total
0 +
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images

Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON

Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education

Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education