1. Performed $97,000 of services for clients on account. 2. Performed $54,000 of services for cash. 3. Incurred $56,000 of other operating expenses on account 4. Paid $22,000 cash to an employee for salary. 5. Collected $68,000 cash from accounts receivable. 6. Paid $21,000 cash on accounts payable. 7. Paid a $7,000 cash dividend to the stockholders. 8. Accrued salaries were $4,800 at the end of Year 1. Event No. Assets Accounts Receivable 97,000 = LEWIS AND HARPER Statements Model For Accounting Year 1 Stockholders Liabilities Income Statement Equity Accounts Salaries Retained Revenue - Net Income Payable Payable Expense Earnings + 97,000 97,000 - 97,000 + + Statement of Cash Flow Cash + 1 2 NA + 3 . + 4 + 5. . + 6. 7. 8. Totals 0+ 97.000- 0 0 97,000 97.000 0- 97,000 Reqto F >