Question 3 Jojoba Service Company was formed on January 1, Year 1. Events Affecting the Year 1 Accounting Period 1. Acquired cash of $60,000 from the issue of common stock 2. Purchased $1.200 of supplies on account. 3. Purchased land that cost $18,000 cash. 4. Paid $80 cash to settle accounts payable created in Event 2. 5. Recognized revenue on account of $42,000. 6. Paid $21,000 cash for other operating expenses. 7. Collected $38.000 cash from accounts receivable. Information for Year 1 Adjusting Entries 8. Recognized accrued salaries of $3,200 on December 31, Year 1. 9. Had $200 of supplies on hand at the end of the accounting period. Events Affecting the Year 2 Accounting Period 1. Acquired an additional $20,000 cash from the issue of common stock. 2. Paid $3,200 cash to settle the salaries payable obligation 3. Paid $3,600 cash in advance for a lease on office facilities. 4. Sold land that had cost $15,000 for $15,000 cash. 5. Received $4,800 cash in advance for services to be performed in the future. 6. Purchased $1,000 of supplies on account during the year, 7. Provided services on account of $32,000. 8. Collected $33,000 cash from accounts receivable. 9. Paid a cash dividend of $5,000 to the stockholders. 10. Paid other operating expenses of $19,500. Information for Year 2 Adjusting Entries 11. The advance payment for rental of the office facilities (see Event 3) was made on March 1 for a one-year lease term 12. The cash advance for services to be provided in the future was collected on October 1 (see Event 5). The one-year contract started October 1. 13. Had $300 of supplies on hand at the end of the period. 14. Recognized accrued salaries of $3,900 at the end of the accounting period. Find the balances of the accounts at the end of Year 1 as it is reported on a balance sheet and on an income statement (If it is zero, enter"0" ). Use pre-closi balances of the Income Statemetn accounts and after closing balances of Balance Sheet accounts. The Balance for the year 1: Cash Accounts Payable Operating Expenses Revenue A Supplies Expense Salaries Payable Accounts Receivable Unearned Revenue Supplies Common Stock Prepaid Rent Retained Earnings Salaries Expense Rent Expense Land