prepare comparative financial statement

Gifford Company experienced the following accounting events during Year 1: 1. Started operations on January 1 when it acquired $20,000 cash by issuing common stock. 2. Earned $18,000 of revenue on account. 3. On March 1 collected $36,000 cash as an advance for services to be performed in the future. 4. Paid cash operating expenses of $17,000. 5. Paid a $2,700 cash dividend to stockholders. 6. On December 31. Year 1. adjusted the books to recognize the revenue carned by providing services related to the advance described in Event 3. The contract required Gifford to provide services for a one-year period starting March 1. 7. Collected $15,000 cash from accounts receivable. Gifford Company experienced the following accounting events during Year 2: 1. Recognized $38.000 of cash revenue. 2. On April 1, paid $12.000 cash for an insurance policy that provides coverage for one year beginning immediately. 3. Collected $2,000 cash from accounts receivable. 4. Paid cash operating expenses of $21.000. 5. Paid a $5,000 cash dividend to stockholders. 6. On December 31, Year 2, adjusted the books to recognize the remaining revenue carned by providing services related to the advance described in Event 3 of Year 1. 7. On December 31. Year 2. Gifford adjusted the books to recognize the amount of the insurance policy used during Year 2. Required