Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its first year of operations: Events Affecting Year 1: 1. Provided $170,000 of cleaning services on account: 2. Collected $127,500 cash from accounts receivable 3. Paid salaries of $38,000 for the year. 4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $2,000. The expense was determined using the percent of revenue method. Required a. Organize the transaction data in accounts under an accounting equation, b. Prepare an income statement, a balance sheet, and a statement of cash flows for Year 1 HOLMES CLEANING SERVICE Balance Sheet As of December 31, Year 1 Assets $ 89,500 0 Cash Accounts receivable Less: Allowance for doubtful accounts Total assets Liabilities Stockholders' Equity Retained earnings $ 89,500 0 0 Total stockholders' equity Total liabilities and stockholders' equity $ 0