Vulcan Service Company experienced the following transactions for Year 1, its first year of operations: 1. Provided $91,000 of services on account. 2. Collected $72,000 cash from accounts receivable. 3. Paid $36,000 of salaries expense for the year. 4. Adjusted the accounts using the following information from an accounts receivable aging schedule: Number of Days Past Due Current Percent Likely to Be Allowance Amount Uncollectible Balance $ 7,800 0.01 0-30 4,500 0.05 31-60 2,000 0.10 61-90 2,200 0.20 Over 90 days 2,500 0.50 Required: a. Organize the transaction data in accounts under an accounting equation. b. Prepare the income statement for Vulcan Service Company for Year 1. c. What is the net realizable value of the accounts receivable at December 31, Year 1? Organize the transaction data in accounts under an accounting equation. Note: Enter any decreases to account balances with a minus sign. Not all cells require input. VULCAN SERVICE COMPANY Accounting Equation for Year 1 Assets Event Cash NRV Accounts Liabilities 1. 2. 3. 4. Balance ++++ + Receivable = + + = + + + Equity Common Stock + + + + + Retained Earnings Account Titles for Retained Earnings < Required A Required B > Required A Required B Required C Prepare the income statement for Vulcan Service Company for Year 1. VULCAN SERVICE COMPANY Income Statement For the Year Ended December 31, Year 1 Operating expenses Total operating expenses < Required A Required C > Required A Required B Required C What is the net realizable value of the accounts receivable at December 31, Year 1? Net realizable value