Problem: Module 1 Textbook Problem 9 Learning Objective: 1-10 Show how accounting for prepaid items affects financial statements Life, Inc., experienced the following events in Year 1, its first year of operation: 1. Performed counseling services for $19,600 cash. 2. On February 1, Year 1, paid $13,200 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 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? Complete this question by entering your answers in the tabs below. Record the events under an accounting equation. (Do not round intermediate calculations. Enter any dec balances with a minus sign.) Prepare an income statement for the Year 1 accounting period. (Do not round intermediate Prepare a balance sheet for the Year 1 accounting period. (Do not round intermediate calcul outflows with a minus sign.) Complete this question by entering your answers in the tabs below. Ignoring all other future events, what is the amount of rent expense that would be recognize intermediate calculations.)