Alcorn Service Company was formed on January 1, Year 1. Events Affecting the Year 1 Accounting Period 1. Acquired $65,000 cash from the issue of common stock. 2. Purchased $2,200 of supplies on account. 3. Purchased land that cost $28,000 cash. 4. Paid $2,200 cash to settle accounts payable created in Event 2. 5. Recognized revenue on account of $52,000. 6. Paid $26,000 cash for other operating expenses. 7. Collected $43,000 cash from accounts receivable. Information for Year 1 Adjusting Entries 8. Recognized accrued salaries of $3,700 on December 31, Year 1. 9. Had $700 of supplies on hand at the end of the accounting period. Events Affecting the Year 2 Accounting Period 1. Acquired $25,000 cash from the issue of common stock. 2. Paid $3,700 cash to settle the salaries payable obligation 3. Paid $5,100 cash in advance to lease office space. 4. Sold the land that cost $28,000 for $28,000 cash. 5. Received $6,300 cash in advance for services to be performed in the future. 6. Purchased $1,500 of supplies on account during the year. 7. Provided services on account of $37,000. 8. Collected $38,000 cash from accounts receivable. 9. Paid a cash dividend of $4000 to the stockholders Check Events Affecting the Year 2 Accounting Period 1. Acquired $25,000 cash from the issue of common stock 2. Paid $3,700 cash to settle the salaries payable obligation 3. Paid $5,100 cash in advance to lease office space. 4. Sold the land that cost $28,000 for $28,000 cash 5. Received $6,300 cash in advance for services to be performed in the future, 6. Purchased $1,500 of supplies on account during the year. 7. Provided services on account of $37,000. 8. Collected $38,000 cash from accounts receivable. 9. Paid a cash dividend of $4,000 to the stockholders. 10. Paid other operating expenses of $24,500. 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 $800 of supplies remaining on hand at the end of the period. 14. Recognized accrued salaries of $4,400 at the end of the accounting period. 15. Recognized $900 of accrued interest revenue, Required Identify each event affecting the Year 1 and Year 2 accounting periods as asset source (AS), asset use (AU), asset exchan or claims exchange (CE). Record the effects of each event under the appropriate general ledger account headings of the accounting equation, Required Identify each event affecting the Year 1 and Year 2 accounting periods as asset source (AS), asset use (AU), asset exchange (AE). or claims exchange (CE). Record the effects of each event under the appropriate general ledger account headings of the accounting equation Complete this question by entering your answers in the tabs below. Acctg Equation Accto Equation Year 1 Year 2 Identify each event affecting the Year 1 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchai under the appropriate general ledger account headings of the accounting equation. (Do not round intermediate calculations. Enter any sign.) ALCORN SERVICE COMPANY Accounting Equation for Year 1 Type Assets Liabilities Stockholders' Equity Event of Accounts Accounts Cash Prepaid Supplies Event Land Salaries Unearned Common Retained Receivable Rent Payable Payable Revenue Stock Earnings 1. 2 3. 4. Required information Year 1 Year 2 Identify each event affecting the Year 1 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange under the appropriate general ledger account headings of the accounting equation. (Do not round intermediate calculations. Enter any dec sign.) ALCORN SERVICE COMPANY Accounting Equation for Year 1 Type Assets Liabilities Stockholders' Equity Event at Accounts Prepald Accounts Cash Salaries Unearned Common Event Retained Land Supplies Receivable Rent Payable Payablo Revenue Stock Earnings 1 2 3 4 5 6. 7 . 8 + 9 Totals - Acety Equation Your 2 > Required information Accounting Equation for Year 2 Assets Prepaid Supplies Interest Rent Land Receivable Type of Event + Cash Accounts Receivable Accounts Payable Liabilities Salarios Payable Uneamed Revenue Stockholders' Equit Common Retaine Stock Earning + + Aceto Equation Year 1