Scott Company is a merchandising business that was started in 2012.Scott uses the perpetual inventory system.It experienced the following events during 2012.
1.Acquired $25,000 cash by issuing common stock
2.Purchased inventory on account that cost $14,000,terms 2/10,n/30
3.Sold inventory that had cost $8,400 for $15,000 cash
4.Paid for the merchandise referred to in event 2,within the discount period
Required:
a)Record the events in the financial statements model below; include column totals.
b)Prepare an income statement for 2012.
c)What is the amount of total assets at the end of 2012?

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The Answer of Scott Company is a merchandising business that was started in 2012.Scott uses the perpetual inventory system.It experienced the following events during 2012.
1.Acquired $25,000 cash by issuing common stock
2.Purchased inventory on account that cost $14,000,terms 2/10,n/30
3.Sold inventory that had cost $8,400 for $15,000 cash
4.Paid for the merchandise referred to in event 2,within the discount period
Required:
a)Record the events in the financial statements model below; include column totals.
b)Prepare an income statement for 2012.
c)What is the amount of total assets at the end of 2012?

Scott Company Is a Merchandising Business That Was Started in 2012.Scott