Cordell Inc. experienced the following events in Year 1, its first year of operation:

1. Received $50,000 cash from the issue of common stock.
2. Performed services on account for $78,000.
3. Paid a $5,000 cash dividend to the stockholders.
4. Collected $56,000 of the accounts receivable.
5. Paid $50,000 cash for other operating expenses.
6. Performed services for $17,500 cash.
7. Recognized $2,000 of accrued utilities expense at the end of the year.

b. Based on your response to Requirement a, determine the amount of net income reported on the Year 1 income statement. d. Based on your response to Requirement c, determine the amount of cash flow from operating activities reported on the Year 1 statement of cash flows. e. What is the before- and after-closing balance in the service revenue account? f. What is the balance of the retained earnings account that appears on the Year 1 balance sheet? b. Net income d. Net cash flow from operating activities e. Before-closing balance in service revenue account After-closing balance in service revenue account Balance of retained earnings