3 Alcorn Service Company was formed on January 1, Year 1.
Events Affecting the Year 1 Accounting Period

1. Acquired $60,000 cash from the issue of common stock.
2. Purchased $1,200 of supplies on account.
3. Purchased land that cost $18,000 cash.
4. Paid $1,200 cash to settle accounts payable created in Event 2.
5. Recognized revenue on account of $42,000.
6. Paid $21,000 cash for other operating expenses.
7. Collected $38,000 cash from accounts receivable.
Information for Year 1 Adjusting Entries
8. Recognized accrued salaries of $3,200 on December 31, Year 1.
9. Had $200 of supplies on hand at the end of the accounting period.
Events Affecting the Year 2 Accounting Period
1. Acquired $20,000 cash from the issue of common stock.
2. Paid $3,200 cash to settle the salaries payable obligation.
3. Paid $3,600 cash in advance to lease office space.
4. Sold the land that cost $18,000 for $18,000 cash.
5. Received $4,800 cash in advance for services to be performed in the future.
6. Purchased $1,000 of supplies on account during the year.
7. Provided services on account of $32,000.
8. Collected $33,000 cash from accounts receivable.
9. Paid a cash dividend of $5,000 to the stockholders.
10. Paid other operating expenses of $19,500.