Listed below are several transactions that took place during the second and third years of operations for the RPG Company Year 2 Year 3 $ 270,000 $370,000 180,000 320,000 Amounts billed to customers for services rendered Cash collected from credit customers Cash disbursements Payment of rent salaries paid to employees for services rendered during the year Utilities Advertising 72,000 O 132,000 152,000 22,000 32,000 11,000 27,000 In addition, you learn that the company incurred advertising costs of $17,000 in year 2, owed the advertising agency $4,200 at the end of year 1, and there were no liabilities at the end of year 3. Also, there were no anticipated bad debts on receivables, and the rent payment was for a two-year period, year 2 and year 3. Required: 1. Calculate accrual net income for both years. 2. Determine the amount due the advertising agency that would be shown as a liability on RPG's balance sheet at the end of year 2 Required 1 Required 2 Calculate accrual net income for both years. Year 2 270,000 $ Year 3 370,000 $ Revenues Expenses Rent Salaries Utilities Advertising Net income 36,000 132,000 22.000 17,000 63,000 $ 36,000 152,000 32,000 16,800 169,200 $ Required 1 Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine the amount due the advertising agency that would be shown as a liability on RPG's balance sheet at the end of year 2. Advertising liability at end of Year 2