Gear Heads, Inc., restores antique automobiles. The retained earnings balance of the corporation was $19,700 at December 31, 2015. During 2016, the corporation paid $45,000 in dividends to its stockholders. At December 31, 2016, the business's accounting records show these balances:

Requirements
1. Identify each amount shown as an asset, liability, or stockholders' equity.
2. Prepare the following financial statements for Gear Heads, Inc.:
a. Income statement for the year ended December 31, 2016
b. Statement of retained earnings for the year ended December 31, 2016
c. Balance sheet at December 31, 2016?

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Accounts Receivable. Note Payable.. Retained Earnings. Salaries Expense . $ 9,300 $ 14,700 6,500 3,700 92,800 33,000 4,800 1,400 Cash. Accounts Payable.. Advertising Expense. Service Revenue Common Stock Rent Expense Supplies 17,000 16,600 68,000 3,200 2,300 Equipment. Insurance Expense. Utilities Expense.