Big A's Auto Service was started on January 1, 2011. The company experienced the following events during its first two years of operation.

Events Affecting 2011
1. Provided \(\$ 30,000\) of repair services on account.

2. Collected \(\$ 25,000\) cash from accounts receivable.

3. Adjusted the accounting records to reflect the estimate that uncollectible accounts expense would be 1 percent of the service revenue on account.

Events Affecting 2012
1. Wrote off a \(\$ 280\) account receivable that was determined to be uncollectible.

2. Provided \(\$ 35,000\) of repair services on account.

3. Collected \(\$ 31,000\) cash from accounts receivable.

4. Adjusted the accounting records to reflect the estimate that uncollectible accounts expense would be 1 percent of the service revenue on account.

Required

a. Record the events for 2011 in general journal form and post them to T-accounts.

b. Determine the following amounts:

(1) Net income for 2011.

(2) Net cash flow from operating activities for 2011.

(3) Balance of accounts receivable at the end of 2011 .

(4) Net realizable value of accounts receivable at the end of 2011.

c. Repeat Requirements \(a\) and \(b\) for the 2012 accounting period.