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Req C$2$

Organize the transaction data in accounts under an accounting equation for Year $2.($Enter any decreases to account balances with a minus sign. If there is no effect on the Accounts Titles for Retained Earnings, leave the cell blank. Not all cells will require entry.$)$

JOVA COMPANY

$\backslash$table$[[$JOVA COMPANY$],[$Accounting Equation for the Year $2],[$Event$,$Assets,$=,$Liabilities,$+,$Equity,$\backslash$table$[[$Accounts Titles for Retainec$],[$Earnings$]]],[$Cash$,+,\backslash$table$[[$NRV Accounts$],[$Receivable$]],\backslash$table$[[$Common$],[$Stock$]],+,\backslash$table$[[$Retained$],[$Earnings$]]],[$Bal$.,,+,,=,,+,,+,,],[1.,,+,,=,,+,,+,,],[2.,,+,,=,,+,,+,,],[3.,,+,,=,,+,,+,,],[4$a$.,,+,,=,,+,,+,,],[4$b$.,,+,,=,,+,,+,,],[5.,,+,,=,,+,,+,,],[6.,,+,,=,,+,,+,,],[$Bal$.,0,+,0,=,0,+,0,+,0,]]$

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$[$The following information applies to the questions displayed below.$]$

The following transactions apply to Jova Company for Year $1,$ the first year of operation:

Issued $$12,000$ of common stock for cash.

Recognized $$67,000$ of service revenue earned on account.

Collected $$59,600$ from accounts receivable.

Paid operating expenses of $$35,300.$

Adjusted accounts to recognize uncollectible accounts expense. Jova uses the allowance method of accounting for uncollectible accounts and estimates that uncollectible accounts expense will be $2$ percent of sales on account.

The following transactions apply to Jova for Year $2$:

Recognized $$74,500$ of service revenue on account.

Collected $$67,600$ from accounts receivable.

Determined that $$940$ of the accounts receivable were uncollectible and wrote them off.

Collected $$200$ of an account that had previously been written off.

Paid $$48,900$ cash for operating expenses.

Adjusted the accounts to recognize uncollectible accounts expense for Year $2.$ Jova estimates uncollectible accounts expense will be $1\mathrm{.}0$ percent of sales on account.

Required

Complete the following requirements for Year $1$ and Year $2.$ Complete all requirements for Year $1$ prior to beginning the requirements for Year $2.$

d$-2.$ Prepare the income statement, statement of changes in stockholders$$ equity, balance sheet, and statement of cash flows for Year $2.$Complete this question by entering your answers in the tabs below.

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Organize the transaction data in accounts under an accounting equation for Year $1.($Enter any decreases to account balances with a minus sign. If there is no effect on the Accounts Titles for Retained Earnings, leave the cell blank. Not all cells will require entry.$)$

JOVA COMPANY

Accounting Equation for the Year $1$

$\backslash$table$[[$Event$,$Assets,$=,$Liabilities,$+,$Equity,$\backslash$table$[[$Accounting Titles for Retained$],[$Earnings$]]],[$Cash$,+,\backslash$table$[[$NRV Accounts$],[$Receivable$]],\backslash$table$[[$Common$],[$Stock$]],+,\backslash$table$[[$Retained$],[$Earnings$]]],[1.,,+,,=,,+,,+,,],[2.,,+,,=,,+,,+,,],[3.,,+,,=,,+,,+,,],[4.,,+,,=,,+,,+,,],[5.,,+,,=,,+,,+,,],[$Bal$.,0,+,0,=,0,+,0,+,0,]]$