Ch Problem: Module 1 Textbook Problem 4 Learning Objective: 1-6 Show how receivables affect financial statements Holloway Company earned $8,600 of service revenue on account during Year 1. The company collected $7,310 cash from accounts receivable during Year 1. Required Based on this information alone, determine the following for Holloway Company a. The balance of the accounts receivable that would be reported on the December 31, Year 1. balance sheet. b. The amount of net income that would be reported on the Year 1 income statement. C. The amount of net cash flow from operating activities that would be reported on the Year 1 statement of cash flows. d. The amount of retained earnings that would be reported on the Year 1 balance sheet Complete this question by entering your answers in the tabs below. Accounting Equation Reg A to D Based on this information alone, determine the following for Holloway Company, (Not all cells require input. Enter any decreases to account balances with a minus sign.) Complete this question by entering your answers in the tabs below. Accounting Equation Reg A to D Based on this information alone, determine the following for Holloway Company. (Not all cells require input. Enter any decreases to account balances with a minus sign.) Event HOLLOWAY COMPANY Effect of Events on the Year 1 Accounting Equation Assets Liabilities Accounts Cash Receivable 8.600 + 7.310 = 8.600 + 7310 = Stockholders' Equity Common Retained Stock Earnings Earned revenue Collected accounts receivable Ending balance + + Req A to D > Complete this question by entering your answers in the tabs below. Accounting Equation Req A to D The balance of the accounts receivable that would be reported on the December 31, Year 1, balance sheet. The amount of net income that would be reported on the Year 1 income statement. The amount of net cash flow from operating activities that would be reported on the Year 1 statement of cash flows. The amount of retained earnings that would be reported on the Year 1 balance sheet. a Accounts receivable b Net income c. Net cash flow from operating activities d Retained earnings Accounting Equation