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 $210,000 of cleaning services on account 2. Collected $157,500 cash from accounts receivable. 3. Paid salaries of $28,000 for the year 4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $1.800 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 Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Req B3 Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. Not all cells require input.) Balance Sheet Assets Liabilities Equity Event Account Titles for Retained Earnings Cash Retained. Earnings Req B1 > Year 1 1 2 3 4 Bal NRV Accounts Receivable Ragh Req A Req B1 Req B2 Prepare an income statement for Year 1. Operating expenses Total operating expenses Req B3 HOLMES CLEANING SERVICE Income Statement For the Year Ended December 31, Year 1 Req A Req B1 Req B2 Prepare a balance sheet for Year 1. Assets Total assets Liabilities Stockholders' Equity Total stockholders' equity Total liabilities and stockholders' equity HOLMES CLEANING SERVICE Balance Sheet As of December 31, Year 1 Req B3 Req A Req B1 Req B2 Req B3 Prepare a statement of cash flows for Year 1. (Amounts to be deducted should be indicated with a minus sign.) HOLMES CLEANING SERVICE Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flows from operating activities Net cash flow from operating activities Cash flows from investing activities Cash flows from financing activities Net change in cash Ending cash balance R, 55