The adjusted trial balance of Stones Sign Company follows:

STONE SIGN COMPANY Adjusted Trail Balcones January 31,2018
	-	Balance
Account Title	Debit	credit
Cash	$15,400
Office Supplies	1,500
Prepared Rent	1,400
Equipment	60,000
Accumulated Depreciation –Equipment		$7,000
Accounts payable		3,800
Salaries Payable		100
Unarmed Revenue		4,200
Notes payable (long -term)		4,300
Common stock		48,800
Dividends	800
Service Revenue		17,300
Salaries Expense	3,700
Rent Expense	1,400
Depreciation Expense- Equipment	400
Supplies Expense	300
Utilities Expenses	600
Total	$85,500	$85,500

Requirements:

1. Assume Stone Sign Company has a January 31 year-end. Journalize Stone’s closing entries at January 31.
2. How much net income or net loss did Stone Sign Company earn for the year ended January 31? How can you tell?