Mathematics, 21.05.2021 17:40 destineepreuss4472
Exercise 3-5A (Algo) Recording inventory transactions in a financial statements model LO 3-1
Milo Clothing experienced the following events during Year 1, its first year of operation:
Acquired $12,500 cash from the issue of common stock.
Purchased inventory for $6,800 cash.
Sold inventory costing $4,080 for $6,936 cash.
Paid $600 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.)
Answers: 2
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Exercise 3-5A (Algo) Recording inventory transactions in a financial statements model LO 3-1
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