80.2K

Verified Solution

Link Copied!

During 2018, Hardy Merchandising Company purchased $21000 of Inventory on account. Hardy sold inventory on acco $15,800 for $23,600. Cash payments on accounts payable were $13,100. There was $21,000 cash collected from accounts recelvable. Hardy also paid $4,100 cash for operating expenses. Assume that Hardy started the accounting period with $18,500 in both cash and common stock Required a. 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, NC for net change in cash and NA to Indicate the element is not affected by the event The beginning balances have been recorded as an example. b. What is the balance of accounts recelvable at the end of 2018? c What is the balance of accounts payable at the end of 2018? d. What are the amounts of gross margin and net income for 2018 e Determine the amount of net cash flow from operating activities. Complete this question by entering your answers in the tabs below Req A Req B to 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 a to indicate the element is not affected by the event. The beginning balances have been recorded as an example. (Enter any decreases to account balances and ca HARDY MERCHAN Effect of Events on the Financial Statements Event Balance Shoet Income Statement Assets Liabilitios Stockholders' Equity Statement of

Answer & Explanation Solved by verified expert

See Answer