Leach Inc. experienced the following events for the first two years of its operations:

Year 1:

1. Issued $10,000 of common stock for cash.
2. Provided $110,000 of services on account.
3. Provided $25,000 of services and received cash.
4. Collected $85,000 cash from accounts receivable.
5. Paid $12,000 of salaries expense for the year.
6. Adjusted the accounting records to reflect uncollectible accounts expense for the year. Leach estimates that 8 percent of the ending accounts receivable balance will be uncollectible.

Year 2:

1. Wrote off an uncollectible account for $730.
2. Provided $130,000 of services on account.
3. Provided $15,000 of services and collected cash.
4. Collected $112,000 cash from accounts receivable.
5. Paid $24,000 of salaries expense for the year.
6. Adjusted the accounts to reflect uncollectible accounts expense for the year. Leach estimates that 8 percent of the ending accounts receivable balance will be uncollectible.

1. d-1. Organize the transaction data in accounts under an accounting equation.
2. d-2. Prepare an income statement for Year 2.
3. d-3. Prepare the statement of changes in stockholders' equity for Year 2.
4. d-4. Prepare the balance sheet for Year 2.
5. d-5. Prepare the statement of cash flows for Year 2.
6. d-6. What is the net realizable value of the accounts receivable at December 31, Year 2?