Listed below are several transactions that took place during the second and third years of operations for the RPG Company. Year 2 Year 3 $370,000 $470,000 280,000 420,000 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 82,000 142,000 32,000 16,000 0 162,000 42,000 37,000 In addition, you learn that the company incurred advertising costs of $27,000 in year 2, owed the advertising agency $5,200 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 Required 2 Calculate accrual net income for both years. Year 2 Year 3 Revenues Expenses: Rent Salaries Utilities Advertising Net income Advertising liability at end of Year 2