Osage Corporation began business operations and experienced the following transactions during Year 1:
1)Issued common stock for $25,000 cash2)Issued a $20,000, 6% 4-year note to the bank on February 13)Provided services to customers for $80,000 cash4)Paid $38,000 for operating expenses5)Accrued interest expense on the note6)Paid a $4,000 dividend to shareholders
Required:Record the above transactions on a horizontal financial statements model to reflect their effect on Osage's financial statements. In the last column, enter OA, IA, FA for the type of cash flow activity, or NA if there is no activity.

Question

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The Answer of Osage Corporation began business operations and experienced the following transactions during Year 1:
1)Issued common stock for $25,000 cash2)Issued a $20,000, 6% 4-year note to the bank on February 13)Provided services to customers for $80,000 cash4)Paid $38,000 for operating expenses5)Accrued interest expense on the note6)Paid a $4,000 dividend to shareholders
Required:Record the above transactions on a horizontal financial statements model to reflect their effect on Osage's financial statements. In the last column, enter OA, IA, FA for the type of cash flow activity, or NA if there is no activity.

Osage Corporation Began Business Operations and Experienced the Following Transactions