1. Acquired $22,000 cash from the issue of common stock. 2. Paid $3,400 cash to settle the salaries payable obligation. 3. Paid $4,200 cash in advance to lease office space. 4. Sold the land that cost $22,000 for $22,000 cash. 5. Received $5,400 cash in advance for services to be performed in the future. 6. Purchased $1,200 of supplies on account during the year. 7. Provided services on account of $34,000. 8. Collected $35,000 cash from accounts receivable. 9. Paid a cash dividend of $7,000 to the stockholders. 10. Paid other operating expenses of $21,500. Information for Year 2 Adjusting Entries 11. The advance payment for rental of the office space (see Event 3) was made on March 1 for a one-year term. 12. The cash advance for services to be provided in the future was collected on October 1 (see Event 5 ). The one-year contract started on October 1. 13. Had $500 of supplies remaining on hand at the end of the period. 14. Recognized accrued salaries of $4,100 at the end of the accounting period. 15. Recognized $600 of accrued interest revenue. Required: dentify each event affecting the Year 1 and Year 2 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or laims exchange (CE). Record the effects of each event under the appropriate general ledger account headings of the accounting quation. Events Affecting the Year 2 Accounting Period 1. Acquired $22,000 cash from the issue of common stock. 2. Paid $3,400 cash to settle the salaries payable obligation. 3. Paid $4,200 cash in advance to lease office space. 4. Sold the land that cost $22,000 for $22,000 cash. 5. Received $5,400 cash in advance for services to be performed in the future. 6. Purchased $1,200 of supplies on account during the year. Identify each event affecting the Year 1 accounting periods as asset source (AS), asset use (AU), asset exchainge (AE), or claims exchange (CE). Record the effects of appropriate general ledger account headings of the accounting equation. Note: Do not round intermediate calculations. Enter any decreases to account balances with a minus sign. Identity each eveat affecting the Year 2 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE), Record the effects of general ledger account headings of the accounting equation. Note; Do not round intermediate cakulations. Enter any decreases to account balances with a minut sago: Required information Identify each event affecting the Year 1 accounting periods as asset source (AS), asset use (AU), asset exchainge (AE), or claims exchange (CE). Record the effects of appropriate general ledger account headings of the accounting equation. Note: Do not round intermediate calculations. Enter any decreases to account balances with a minus sign
