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 $26,920 of cleaning services on account. 2. Collected $21,536 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 $202 account receivable that was determined to be uncollectible. 2. Provided $31,416 of cleaning services on account. 3. Collected $27,803 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. Req A1 Req A2 Req B Req C Organize the transaction data in accounts under an accounting equation for Year 1. Note: Enter any decreases to account balances with a minus sign. Not all cells require input. ROSIE DRY CLEANING Accounting Equation for Year 1 Balance Sheet Assets Event NRV Cash Accounts Receivable 1. + 2. + 3. Balance 0+ II =1 = Equity Liabilities + Account Titles for Retained Earnings Retained Earnings + ++ + 0= 0+ Reg A1 0 Req A2 > Req A1 Req A2 Req B Req C Organize the transaction data in accounts under an accounting equation for Year 2. Note: Enter any decreases to account balances with a minus sign. Not all cells require ROSIE DRY CLEANING Accounting Equation for Year 2 input. Balance Sheet Liabilities + Equity Retained Earnings Account Titles for Retained Earnings + Event Assets Cash NRV Accounts + Receivable Balance + 1. + = + 2. + II + 3. + = + 4. + = + Balance 0+ 0= 0+ < Req A1 0 Req B > Req A1 Req A2 Req B Req C Determine the following amounts for the Year 1 accounting period. Note: 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 < Req A2 Req C > Req A1 Req A2 Req B Req C Determine the following amounts for the Year 2 accounting period. Note: 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 < Req B