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3-2, 3-3 Required How each of the following events or series of events and the related adjusting entry will affect the amount of net income and the amount of cash flow from operating activities reported on the year-end financial statements. Identify the direction of change (Increase, decrease, or NA) and the amount of the change. Organize your answers according to the following table. an example. If an event does not have a related adjusting entry, record only the effects of the event. (Do not round Intermediate calculations and round your final answers to nearest whole dollar amount.) a. Pald $2,700 cash on October 1 to purchase a one-year Insurance policy. b. Purchased $1,450 of supplies on account. Pald $850 cash on accounts payable. The ending balance in the Supplies account, after adjustment, was $350. C. Provided services for $7,800 cash. d. Collected $10,800 in advance for services to be performed in the future. The contract called for services to start on May 1 and to continue for one year. e. Accrued salarles amounting to $4,700. f. Sold land that cost $17,700 for $17,700 cash g. Acquired $52,000 cash from the issue of common stock. h. Earned $13,200 of revenue on account. Collected $11,880 cash from accounts receivable. 1. Pald cash for other operating expenses of $1,900. Cash Flows from Net Income Operating Activities Eventi Adjustment Direction of Amount of Direction of Amount of Change Change Change Change NA Decrease $ 2,700 Adj. Decrease $ 675 NA Decrease Decrease 850 Decrease Adj

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