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Alcorn Service Company was formed on January 1, 2018.

Events Affecting the 2018 Accounting Period

1. Acquired $72,000 cash from the issue of common stock.
2. Purchased $3,600 of supplies on account.
3. Purchased land that cost $42,000 cash.
4. Paid $3,600 cash to settle accounts payable created in Event 2.
5. Recognized revenue on account of $66,000.
6. Paid $33,000 cash for other operating expenses.
7. Collected $50,000 cash from accounts receivable.

Information for 2018 Adjusting Entries

1. Recognized accrued salaries of $4,400 on December 31, 2018.
2. Had $1,400 of supplies on hand at the end of the accounting period.

Events Affecting the 2019 Accounting Period

1. Acquired $32,000 cash from the issue of common stock.
2. Paid $4,400 cash to settle the salaries payable obligation.
3. Paid $7,200 cash in advance to lease office space.
4. Sold the land that cost $42,000 for $42,000 cash.
5. Received $8,400 cash in advance for services to be performed in the future.
6. Purchased $2,200 of supplies on account during the year.
7. Provided services on account of $44,000.
8. Collected $45,000 cash from accounts receivable.
9. Paid a cash dividend of $4,000 to the stockholders.
10. Paid other operating expenses of $31,500.

Information for 2019 Adjusting Entries

1. The advance payment for rental of the office space (see Event 3) was made on March 1 for a one-year term.
2. The cash advance for services to be provided in the future was collected on October 1 (see Event 5). The one-year contract started on October 1.
3. Had $1,500 of supplies remaining on hand at the end of the period.
4. Recognized accrued salaries of $5,100 at the end of the accounting period.
5. Recognized $1,600 of accrued interest revenue.

1. b-1.fill in an income statement for 2018 and 2019.
2. b-2. fill in show the statement of changes in stockholders' equity for 2018 and 2019.
3. b-3. fill in the balance sheet for 2018 and 2019.
4. b-4.fill in the statement of cash flows for 2018 and 2019, using the vertical statements model.