Rosie Dry Cleaning was started on January 1, 2018. It experienced the following events during its first two years of operation:

Events Affecting 2018

1. Provided $30,830 of cleaning services on account.
2. Collected $24,664 cash from accounts receivable.
3. Adjusted the accounting records to reflect the estimate that uncollectible accounts expense would be 1 percent of the cleaning revenue on account.

Events Affecting 2019

1. Wrote off a $231 account receivable that was determined to be uncollectible.
2. Provided $35,979 of cleaning services on account.
3. Collected $31,841 cash from accounts receivable.
4. Adjusted the accounting records to reflect the estimate that uncollectible accounts expense would be 1 percent of the cleaning revenue on account.

Required

1. Organize the transaction data in accounts under an accounting equation for each year.
2. Determine the following amounts:

1. (1) Net income for 2018.
2. (2) Net cash flow from operating activities for 2018.
3. (3) Balance of accounts receivable at the end of 2018.
4. (4) Net realizable value of accounts receivable at the end of 2018.

3. Determine the following amounts:

1. (1) Net income for 2019.
2. (2) Net cash flow from operating activities for 2019.
3. (3) Balance of accounts receivable at the end of 2019.
4. (4) Net realizable value of accounts receivable at the end of 2019.

Organize the transaction data in accounts under an accounting equation for year 2018. (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.)

ROSIE DRY CLEANING
Accounting Equation for the Year 2018
Event	Balance Sheet							Accounts Titles for Retained Earnings
	Assets					=	Equity
	Cash	+	Accounts Receivable		Allowance		Retained Earnings
1.		+				=
2.		+				=
3.		+				=
Bal.	0	+	0		0	=	0

Organize the transaction data in accounts under an accounting equation for year 2019. (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.)

ROSIE DRY CLEANING
Accounting Equation for the Year 2019
Event	Balance Sheet							Accounts Titles for Retained Earnings
	Assets					=	Equity
	Cash	+	Accounts Receivable		Allowance		Retained Earnings
Bal.		+				=
1.		+				=
2.		+				=
3.		+				=
4.		+				=
Bal.	0	+	0		0	=	0

Determine the following amounts for the 2018 accounting period. (Round your answers to nearest whole dollar amount.)

Net income
Net cash flow from operating activities
Balance of accounts receivable
Net realizable value of accounts receivable

Determine the following amounts for the 2019 accounting period. (Round your answers to nearest whole dollar amount.)

Net income
Net cash flow from operating activities
Balance of accounts receivable
Net realizable value of accounts receivable