Required information Exercise 7-2A Accounting for uncollectible accounts: allowance method LO 7-1 The following information applies to the questions displayed below. Part 3 of 3 9.09 points Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its first year of operations: Events Affecting Year 1: Book Pint References 1. Provided $170,000 of cleaning services on account. 2. Collected $127,500 cash from accounts receivable. 3. Pald salaries of $46.000 for the year 4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $2,200. The expense was determined using the percent of revenue method Exercise 7-2A Part c 9.09 points c. Prepare an income statement, balance sheet, and statement of cash flows for Year1. Statement of Cash Flows and Balance Sheet only: Items to be deducted must be Indicated with a minus sign.) Book Pint References HOLMES CLEANING SERVICE Income Statement For the Year Ended December 31, Year 1 Operating expenses Total operating expenses HOLMES CLEANING SERVICE Balance Sheet As of December 31, Year 1 9.09 points Assets eBook Pint References Total assets Liabilities Stockholders' equity Total stockholders' equity Total liabilities and stockholders' equity 9.09 points HOLMES CLEANING SERVICE Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flow from operating activities eBook Pint References Net cash flow from operating activites Cash flows from investing activities Cash flows from financing activities Net change in cash Ending cash balance