Based on the following trial balance for Barry's Automotive Shop, prepare an income statement, statement of retained earnings, and a balance sheet. There were no additional stock issuances during the year. Barry's Automotive ShopTrial BalanceDecember 31Cash$ 12,500?Accounts receivable1,500?Supplies500?Repair shop equipment27,000?Service truck33,000?Accounts payable?$2,600Common Stock?30,000Retained Earnings?8,525Dividends36,000?Service revenue?125,000Supplies expense3,425?Rent expense18,000?Utilities expense5,000?Gas expense7,200?Wages expense22,000? Totals$166,125$166,125
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Barry's Automotive Shop
Income Statement
For Year Ended December 31
| ? |
| Service revenue ………………………. | ? | $125,000 |
| Expenses: | ? | ? |
| Supplies expense…………………… | $ 3,425 | ? |
| Rent expense……………………….. | 18,000 | ? |
| Utilities expense…………………….. | 5,000 | ? |
| Gas expense………………………..... | 7,200 | ? |
| Wages expense……………………… | 22,000 | ? |
| Total expenses………………………. | ? | 55,625 |
| Net Income……………………………... | ? | $ 69,375 |
Barry's Automotive Shop | ||
| Statement of Retained Earnings |
| For Year Ended December 31 | |
| Retained Earnings, January 1 | $8,525 |
| Plus: Net income | 69,375 |
| ? | 77,900 |
| Less: Dividends | (36,000) |
| Retained Earnings, December 31 | $41,900 |
| Barry's Automotive Shop Balance Sheet December 31 | |
| Assets | Liabilities |
| Cash | $ 12,500 | Accounts payable | $ 2,600 |
| Accounts receivable | 1,500 | ? | ? |
| Supplies | 500 | Equity | ? |
| Repair shop equipment | 27,000 | ? | ? |
| Service truck | 33,000 | Common Stock | 30,000 |
| ? | ? | Retained earnings | 41,900 |
| ? | ? | Total stockholders' equity | 71,900 |
| Total assets | $74,500 | Total liabilities and equity | $74,500 |
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