Presented here are the accounts of Plantscapes Decor Services Corporation for the year ended December 31, 2011.

Requirements 

1. Prepare Plantscapes Decor Services Corporation’s income statement.
2. Prepare the statement of retained earnings.
3. Prepare the balance sheet.
4. Answer these questions about the company:

a. Was the result of operations for the year a profit or a loss? Flow much?

b. How much in total economic resources does the company have as it moves into the new year?

c. How much does the company owe?

d. What is the dollar amount of the stockholders’ equity in the business at the end of the year?

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Land Note payable Property tax expense Dividends Rent expense $ 9,000 Common stock 32,000 Accounts payable $ 24,000 11,000 2,500 Accounts receivable 4,000 28,000 Advertising expense 19,000 11,000 Building 128,100 Salary expense 66,000 Cash 9,000 Salary payable 800 Equipment 18,000 Service revenue 189,000 Insurance expense 2,200 Supplies 6,000 Interest expense 6,000 Retained earnings, 12/31/2010 $2,000