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Required information [The following information applies to the questions displayed below) Cowboy Ice Cream Company (CIC) was formed on January 1, Year 1 Events Affecting

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Required information [The following information applies to the questions displayed below) Cowboy Ice Cream Company (CIC) was formed on January 1, Year 1 Events Affecting the Year 1 Accounting Period 1. Acquired $65,000 cash from the issue of common stock. 2. Purchased $2,200 of supplies on account 3. Purchased and that cost $28.000 cash. 4. Paid $2,200 cash to settle accounts payable created in Event 2 5. Recognized revenue on account of $52.000 6. Paid $26,000 cash for other operating expenses 7. Collected $43,000 cash from accounts receivable, Information for Year 1 Adjusting Entries 8. Recognized accrued salaries of $3.700 on December 31, Year 1 9. Had $700 of supplies on hand at the end of the accounting period. Events Affecting the Year 2 Accounting Period 1. Acquired $25,000 cash from the issue of common stock. 2. Paid $3,700 cash to settle the salaries payable obligation 3. Paid $5,100 cash in advance to lease office space 4. Sold the land that cost $28,000 for $28.000 cash 5. Received $6,300 cash in advance for services to be performed in the future. 6. Purchased $1500 of supplies on account during the year. 7. Provided services on account of $37.000. 8. Collected $38,000 cash from accounts receivable 9. Paid a cash dividend of $4,000 to the stockholders. 10. Paid other operating expenses of $24,500 Information for Year 2 Adjusting Entries 11. The advance payment for rental of the office space (see Event 3) was made on March for a one-year 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 on October 1 13. Had $800 of supplies remaining on hand at the end of the period 14. Recognized accrued salaries of $4,400 at the end of the accounting period 15. Recognized $900 of accrued interest reverie COWBOY ICE CREAM.COMPANY Accounting Equation for Year 1 Assets Prepaid Supplies Accounts Land Rent Payable COLUMN Event INTENTIALLY BLANK 1 2 Cash Accounts Receivable Llabilities Salaries Payable Stockholders' Equity Common Retained Stock Earnings Unearned Revenue 3 4 5 6 2 9 Total Accounting Equation for Year 2 Asses Prepaid Land Interest Rent Receivable Cash COLUMN Event INTENTIONALLY BLANK Bai 1 Accounts Liabilities Salaries Payable Accounts Payable Receivable Supplies Stockholfers' Equity Cremon Stack Earnings Uncanned Revenue 2 3 4 + 5 + 7 + 9 10 11 12 13 14 15

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