3 of 5 Required information Problem 7-17A (Algo) Accounting for uncollectible accounts: two cycles using the percent of revenue allowance method LO 7-1 [The following information applies to the questions displayed below) The following transactions apply to Jova Company for Year 1, the first year of operation: ces 1. Issued $13,500 of common stock for cash. 2. Recognized $68,500 of service revenue earned on account 3. Collected $60,800 from accounts receivable. 4. Paid operating expenses of $35,600. 5. Adjusted accounts to recognize uncollectible accounts expense. Jove uses the allowance method of accounting for uncollectible accounts and estimates that uncollectible accounts expense will be 2 percent of sales on account. The following transactions apply to Jova for Year 2: onnised $26.000 of service revenue on account. 13 Required information Part 4 of 5 Reg 1 Income Stmt Reg Di Strmt Reg 01 Reg Di Semt of Changes Balance Sheet of Cash Flows Prepare an income statement for Year 1. 2.22 points Financial Statements Income Statement For the Year Ended Year 1 Service revenue Expenses Operating expenses Uncollectible accounts expense Bences 0 Total expenses Reg D1 Stof Changes > 13 Required information Complete this question by entering your answers in the tabs below. Part 4 of 5 2.22 points Req1 Reg Di St RDI Reg Di St Income Samt of Changes Balance sheet of Cash Flow Prepare the statement of changes in stockholdersequity for Year 1. JOVA COMPANY Statement of Changes in Stockholders' Equity For the Year Ended Year 1 Beginning common stock Hace 5 0 Ending common stock Beginning retained earnings Ending retained coming Total stockholders equity 0 0 13 Rare Information Part 45 2.22 pos Req Reg Di St Hei Regis St of Change Mance Sheet of Cash Flows Prepare the statement of cash flows for Year 1. (Aments to be deducted should be in the JOVA COMPANY Statement of Cash For the Year Ended Year! Cashflows from operating activities 5 0 Ner cash flow from operating activities Cash fows from investing activities Cashflows from Francing cities 5 0 Nel cash few from financing activities Nel change in cash 5 Ending cash balance ( Req 01 Balance Sheet 3 of 5 Required information Problem 7-17A (Algo) Accounting for uncollectible accounts: two cycles using the percent of revenue allowance method LO 7-1 [The following information applies to the questions displayed below) The following transactions apply to Jova Company for Year 1, the first year of operation: ces 1. Issued $13,500 of common stock for cash. 2. Recognized $68,500 of service revenue earned on account 3. Collected $60,800 from accounts receivable. 4. Paid operating expenses of $35,600. 5. Adjusted accounts to recognize uncollectible accounts expense. Jove uses the allowance method of accounting for uncollectible accounts and estimates that uncollectible accounts expense will be 2 percent of sales on account. The following transactions apply to Jova for Year 2: onnised $26.000 of service revenue on account. 13 Required information Part 4 of 5 Reg 1 Income Stmt Reg Di Strmt Reg 01 Reg Di Semt of Changes Balance Sheet of Cash Flows Prepare an income statement for Year 1. 2.22 points Financial Statements Income Statement For the Year Ended Year 1 Service revenue Expenses Operating expenses Uncollectible accounts expense Bences 0 Total expenses Reg D1 Stof Changes > 13 Required information Complete this question by entering your answers in the tabs below. Part 4 of 5 2.22 points Req1 Reg Di St RDI Reg Di St Income Samt of Changes Balance sheet of Cash Flow Prepare the statement of changes in stockholdersequity for Year 1. JOVA COMPANY Statement of Changes in Stockholders' Equity For the Year Ended Year 1 Beginning common stock Hace 5 0 Ending common stock Beginning retained earnings Ending retained coming Total stockholders equity 0 0 13 Rare Information Part 45 2.22 pos Req Reg Di St Hei Regis St of Change Mance Sheet of Cash Flows Prepare the statement of cash flows for Year 1. (Aments to be deducted should be in the JOVA COMPANY Statement of Cash For the Year Ended Year! Cashflows from operating activities 5 0 Ner cash flow from operating activities Cash fows from investing activities Cashflows from Francing cities 5 0 Nel cash few from financing activities Nel change in cash 5 Ending cash balance ( Req 01 Balance Sheet