The following information is drawn from the accounting records of Kristy Company: Revenue recognized on account Year 1 $50,000 Year 2 $40,000 Cash collections from customers Expenses incurred on account 40,000 50,000 30,000 25,000 Cash payments to reduce accounts payable 25,000 30,000 Required Prepare a Year 1 income statement and determine the balance in the accounts receivable account as of December 31, Year 1. Prepare a Year 2 income statement and determine the balance in the accounts receivable account as of December 31, Year 2. Prepare the Year 1 operating activities section of the statement of cash flows and determine the balance in the accounts payable account as of December 31, Year 1. Prepare the Year 2 operating activities section of the statement of cash flows and determine the balance in the accounts payable account as of December 31, Year 2. Complete this question by entering your answers in the tabs below. Sec 1 and 2 Sec 3 and 4 Section 1 Groups - Prepare a Year 1 income statement and determine the balance in the accounts receivable account as of December 31, Year 1. Section 2 Groups - Prepare a Year 2 income statement and determine the balance in the accounts receivable account as of December 31, Year 2.1 (Amounts to be deducted and losses should be indicated with a minus sign.) www Show less A