Davos Company performed services on account for $60,000 in Year 1. Davos collected $48,000 cash from accounts receivable during Year 1, and the remaining $12,000 was collected in cash during Year 2. Required a. e. & 1. Record the Year 1 transactions in T-accounts and close the Year 1 Service Revenue account to the Retained Earnings account Record the Year 2 cash collection in the appropriate T-accounts. b. & g. Show the Year 1 and Year 2 transactions in a horizontal statements model. c. Determine the amount of revenue Davos would report on the Year 1 income statement d. Determine the amount of cash flow from operating activities Davos would report on the Year 1 statement of cash flows. h. Assuming no other transactions occur in Year 2, determine the amount of net income and the net cash flow from operating activities for Year 2 Record the Year 1 transactions in T-accounts and close the Year 1 Service Revenue account to the Retained Earnings account. Record the Year 2 cash collection in the appropriate T-accounts. (Select 1, 2, or 3" for the transactions in the order they take place. Select "cl" for closing entries.) Assets Cash Accounts Receivable Year 1 Year 1 End. Bal Year 2 End. Bal Year 2 End. Bal. End. Bal Stockholders' Equity Retained Earnings Service Revenue Year 1 Year 1 End. Bal Year 2 End. Bal Year 2 End. Bal. End. Bal Regando Req A E and Freq Band G Reqc Req D ReqH Show the Year 1 and Year 2 transactions in a horizontal statements model. (Enter any decreases to account balances with a minus sign. In the Cash Flow col operating activity and NC for net change in cash and NA wherever required.) DAVOS COMPANY Effect of Transactions on the Financial Statements for Year 1 and Year 2 Assets Liabilities + Stockholders' Equity Revenue Expense = Net Income No. Statement of Cash Accounts Cash Common Retained Flow Receivable Stock Earnings Year 1 1. 2 Bal Year 2 3. + + + + + Bal Determine the amount of revenue Davos would report on the Year 1 income statement Revenue Determine the amount of cash flow from operating activities Davos would report on the Year 1 statement of cash flows. Cash flow from operating activities ( Reqc RegH > MacBook Air Assuming no other transactions occur in Year 2, determine the amount of net income and the net cash flow from operating activities for Year 2. Net income Cash flow from operating activities