Refer to M4-14. Prepare a statement of retained earnings for 2012.
M4-14
The Sky Blue Corporation has the following adjusted trial balance at December 31, 2012.

Prepare an income statement for the year ended December 31, 2012. How much net income did the Sky Blue Corporation generate during 2012?

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Debit Credit Cash Accounts Receivable Prepaid Insurance Notes Receivable (long-term) $1,230 2,000 2,300 3,000 12,000 UI Accumulated Depreciation Accounts Payable Utilities Payable Wages Payable Income Taxes Payable Unearned Revenue Contributed Ca Retained Earnin Dividends Declared Sales Revenue Rent Revenue Wa Depreciation Expense Utilities Expense Insurance Expense Rent Expense Income Tax $2,600 1,600 3,820 1,000 2,900 600 2,400 1,000 300 42,030 300 21,600 1,300 4,220 1,400 6,000 2,900 $58,250 se Total $58,250