Bennett's Home Renovations was started in 2008 by Jim Bennett. Jim operates the business from an office in his home. Listed below, in alphabetical order, are the company's assets and liabilities as at December 31, 2014, and the revenues, expenses, and drawings for the year ended December 31, 2014:

Jim's capital at the beginning of 2014 was $45,850. He made no investments during the year.
Instructions
Prepare an income statement, statement of owner's equity, and balance sheet.
TAKING IT FURTHER Why is it necessary to prepare the income statement first, then the statement of owner's equity, and the balance sheet last?

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Accounts payable Accounts receivable Cash Equipment Insurance expense Interest expense J. Bennett, drawings Notes payable Prepaid insurance Service revenue Supplies Supplies expense Salaries expense Unearned revenue Vehicles Vehicle operating expenses $1,685 153,750 595 20,095 88,230 15,000 42,000 3,545 s7,850 0,080 8,250 9,400 3,375 1,195 44,800 30,800 2