NOTE: I have answered this complete but when I try to submit it shows a message as INCOMPLETE:

Life, Incorporated experienced the following events in Year 1, its first year of operation:

1. Performed counseling services for $26,000 cash.
2. On February 1, Year 1, paid $18,000 cash to rent office space for the coming year.
3. Adjusted the accounts to reflect the amount of rent used during the year.

Required Based on this information alone: a. Record the events in general ledger accounts under an accounting equation. b. Prepare an income statement, balance sheet, and statement of cash flows for the Year 1 accounting period. c. Ignoring all other future events, what is the amount of rent expense that would be recognized in Year 2?

Record the events in general ledger accounts under an accounting equation. (Do not round intermediate calculations. Enter any decreases to account balances with a minus sign.) LIFE, INC. Effect of Events on the Accounting Equation Assets Event Stockholders' Equity Retained Earnings 26,000 Cash Prepaid Rent 1. Performed services 26,000 01 = 2. Prepaid rent (18,000) 18,000/= 0 3. Used rent 0 Totals 8,000 18,000 = 26,000