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d-1. Prepare an income statement for Year 1. d-2. Prepare a statement of changes in stockholders' The following information applies to the questions displayed below.] Colton Enterprises experienced the following events for Year 1, the first year of operation: 1. Acquired $55,000 cash from the issue of common stock. 2. Paid $14,000 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2. 3. Performed services for customers on account for $112,000. 1. Incurred operating expenses on account of $45,000. 5. Collected $85,500 cash from accounts receivable. . Paid $41,000 cash for salary expense. 7. Paid $36,000 cash as a partial payment on accounts payable. Idjusting Entries 3ade the adjusting entry for the expired rent. (See Event 2.) . Recorded $6,400 of accrued salaries at the end of Year 1. vents for Year 2 1. Paid $6,400 cash for the salaries accrued at the end of the prior accounting period. 2. Performed services for cash of $61,000. 3. Purchased $4,800 of supplies on account. Paid $16,500 cash in advance for rent. The payment was for one year beginning April 1, Year 2. 5. Performed services for customers on account for $128,000. 5. Incurred operating expenses on account of $61,500. 7. Collected $109,000 cash from accounts receivable. 3. Paid $59,000 cash as a partial payment on accounts payable. . Paid $33,500 cash for salary expense. . Paid a $11,000 cash dividend to stockholders. Idjusting Entries 1. Made the adjusting entry for the expired rent. (Hint: Part of the rent was paid in Year 1.) 2. Recorded supplies expense. A physical count showed that $450 of supplies were still on hand

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