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Required information [The following information applies to the questions displayed below. Leach Inc, experienced the following events for the first two years of its operations:

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Required information [The following information applies to the questions displayed below. Leach Inc, experienced the following events for the first two years of its operations: Year 1: 1. Issued $10,000 of common stock for cash. 2. Provided $100,000 of services on account. 3. Provided $27,000 of services and received cash. 4. Collected $73,000 cash from accounts receivable 5. Paid $16,000 of salaries expense for the year. 6. Adjusted the accounting records to reflect uncollectible accounts expense for the year. Leach estimates that 8 percent of the ending accounts receivable balance will be uncollectible Year 2: 1. Wrote off an uncollectible account for $690. 2. Provided $120,000 of services on account. 3. Provided $20,000 of services and collected cash. 4. Collected $102,000 cash from accounts receivable. 5. Paid $24,000 of salaries expense for the year. 6. Adjusted the accounts to reflect uncollectible accounts expense for the year Leach estimates that 8 percent of the ending accounts receivable balance will be uncollectible. Req A Reg B Inc Req B Stmt of Reg B Bal Reg B Stmt Stmt Changes Sheet Cash Flows Regc Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account bal on the Accounts Titles for Retained Earnings, leave the cell blank. Not all cells will require entry) with a minussion Event LEACH INC. Accounting Equation for the Year 1 Equity Liabilities Accounting Titles for Retained Common Retained Earnings Stock Earnings 10,000 100,000 Service revenue 27.000 Service revenue 1 + 2 Assets Cash NRV Accounts Receivable 10.000 + 100.000 27,000 73,000 (73 000) (16,000) + 3 +++++++ +++++++ 4 +++++ 5 127.000 10 000 0 6 Bal 27,000 94,000 Reg B Inc Strt> F Req A Req Banc Stmt Req B Stmt of Changes Reg B Bal Sheet Req B Stmt Cash Flows Reqc Prepare the income statement for Year 1. LEACH INC. Income Statement For the Year Ended December 31, Year 1 Operating expenses 0 Total operating expenses Req B Stmt of Changes >

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