Rosie Dry Cleaning was started on January 1. Year 1. It experienced the following events during its first two years of operation: Events Affecting Year 1 1. Provided $29,130 of cleaning services on account 2. Collected $23,304 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 Year 2 1. Wrote off a $218 account receivable that was determined to be uncollectible, 2. Provided $33,995 of cleaning services on account 3. Collected $30,086 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 a. Organize the transaction data in accounts under an accounting equation for each year. b. Determine the following amounts: (1) Net Income for Year 1. (2) Net cash flow from operating activities for Year 1, (3) Balance of accounts receivable at the end of Year 1. (4) Net realizable value of accounts receivable at the end of Year 1. c. Determine the following amounts: (1) Net income for Year 2 (2) Net cash flow from operating activities for Year 2 (3) Balance of accounts receivable at the end of Year 2 (4) Net realizable value of accounts receivable at the end of Year 2. (2) Net cash flow from operating activities for Year 2. (3) Balance of accounts receivable at the end of Year 2. (4) Net realizable value of accounts receivable at the end of Year 2. Complete this question by entering your answers in the tabs below. Req A1 Reg A2 Req B ReqC Organize the transaction data in accounts under an accounting equation for Year 1. (Enter any decreases to account b minus sign. Not all cells require input.) ROSIE DRY CLEANING Accounting Equation for Year 1 Balance Sheet Assets Liabilities Equity NRV Retained Accounts Earnings Receivable Event Account Titles for Retained Earnings Cash + + 1. 2. 3. + + + 11111 + Bal. 0 0 + 0 Reg A1 Req A2 > Complete this question by entering your answers in the tabs below. Reg A1 Reg A2 Req B ReqC Organize the transaction data in accounts under an accounting equation for Year 2. (Enter any decreases to account bala minus sign. Not all cells require input.) ROSIE DRY CLEANING Accounting Equation for Year 2 Balance Sheet Assets Liabilities Equity NRV Accounts Retained + Receivable Earnings Event Account Titles for Retained Earnings Cash Bal 1. 2. 3. 4. + + Bal. 0 + 0 0 + c. Determine the following amounts: (1) Net income for Year 2. (2) Net cash flow from operating activities for Year 2. (3) Balance of accounts receivable at the end of Year 2. (4) Net realizable value of accounts receivable at the end of Year 2. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Req B ReqC Determine the following amounts for the Year 2 accounting period. (Round your answe Net income Net cash flow from operating activities Balance of accounts receivable Net realizable value of accounts receivable 14) el cas HOW ITOni opeialliy dlLVILES 101 Teal . (3) Balance of accounts receivable at the end of Year 1. (4) Net realizable value of accounts receivable at the end of Year 1. c. Determine the following amounts: (1) Net income for Year 2. (2) Net cash flow from operating activities for Year 2. (3) Balance of accounts receivable at the end of Year 2. (4) Net realizable value of accounts receivable at the end of Year 2. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Reg B Req C Determine the following amounts for the Year 1 accounting period. (Round you Net income Net cash flow from operating activities Balance of accounts receivable Net realizable value of accounts receivable
