46 t 7 ences C raw Required: Based on this information alone: a. Record the events in accounts under an accounting equation. Note: Enter any decreases to account balances with a minus sign. LIFE, INCORPORATED Effect of Events on the Accounting Equation Event 1. Performed services 2. Prepaid rent 3. Used rent Totals Stockholders' Assets Equity Retained Cash Prepaid Rent Earnings 26.800 0 0 18,600 0 45,400 18,600= 0 0 = 0 18,600 = 0 b. Prepare an income statement, balance sheet, and statement of cash flows for the Year 1 accounting period. Note: In statement of cash flows, cash outflows should be indicated with a minus sign. LIFE, INCORPORATED Income Statement For the Year Ended December 31, Year 1 $ 0 Prev 1 of 9 Nex