Required Information [The following information applies to the questions displayed below.] The following transactions relate to Academy Towing Service. Assume the transactions for the purchase of the wrecker and any capital Improvements occur on January 1 of each year. Year 1 1. Acquired $70,000 cash from the Issue of common stock. 2. Purchased a used wrecker for $32,000 cash. It has an estimated useful life of three years and a $5,000 salvage value. 3. Pald sales tax on the wrecker of $3,000. 4. Collected $56,100 in towing fees. 5. Pald $12,000 for gasoline and oll. 6. Recorded straight-IIne depreciation on the wrecker for Year 1. 7. Closed the revenue and expense accounts to Retained Earnings at the end of Year 1. Year 2 1. Pald for a tune-up for the wrecker's engine, $900. 2. Bought four new tires, $1,250. 3. Collected $62,000 in towing fees. 4. Pald $18,000 for gasoline and oll. 5. Recorded straight-IIne depreclation for Year 2 . 6. Closed the revenue and expense accounts to Retained Earnings at the end of Year 2. Year 3 1. Pald to overhaul the wrecker's engine, $4,800, which extended the life of the wrecker to a total of four years. The salvage value did not change. 2. Pald for gasoline and oll, $19,100. 3. Collected $65,000 in towing fees. 4. Recorded straight-IIne depreciation for Year 3. 5. Closed the revenue and expense accounts at the end of Year 3. For each year, post the entries to T-accounts