1. Prepare a retained earnings statement

2. Prepare a classified balance sheet

3. Journalize the adjusting entries

4. Journalize the closing entries

The Blue Spruce Corp. is located in midtown Madison. During the past several years, net income has been declining because of suburban shopping centers. At the end of the company's fiscal year on November 30, 2022, the following accounts appeared in two of its trial balances. All accounts balances are normal. Unadjusted Adjusted Unadjusted Adjusted Accounts Payable $25,900 $25,900 Inventory $28,000 $28,000 Accounts Receivable 30,200 30,200 Notes payable 35,500 35,500 Accumulated Depr.-Equipment 33,000 45,000 Prepaid Insurance 10,000 2,700 Cash 25,000 25,000 Property Tax Expense 2,500 Common Stock 21,900 21,900 Property Taxes Payable 2,500 Cost of Goods Sold 501,500 501,500 Rent Expense 12,400 12,400 Dividends 9.500 9,500 Retained Earnings 61,700 61,700 Freight-Out 5,300 5,300 Salaries and Wages Expense 91,900 91,900 Equipment 146,000 146,000 Sales Commissions Expense 6,500 11,000 Depreciation Expense 12,000 Sales Commissions Payable 4,500 Insurance Expense 7,300 Sales Returns and Allowances 7,600 7,600 Interest Expense 6,200 6,200 Sales Revenue 700,000 700,000 Interest Revenue 11,000 11,000 Utilities Expense 8,900 8,900 Income Statement For the Year Ended November 30, 2022 es jales Revenue $ 700,000 S : Sales Returns and Allowances 7,600 t Sales 692400 st of Goods Sold 501.500 oss Profit 190,900 erating Expenses jalaries and Wages Expense $ 91900 i Rent Expense 12400 i jales Commissions Expense 11,000 i Depreciation Expense 12000 i Utilities Expense 8900 Rent Expense 12400 i jales Commissions Expense 11,000 i Depreciation Expense 12000 i Utilities Expense 8900 i nsurance Expense 7300 i Freight-Out 5300 i Property Tax Expense 2500 i al Operating Expenses 151300 ome from Operations 39,600 her Revenues and Gains nterest Revenue 11000 ner Expenses and Losses nterest Expense 6200 i 4800 ales Commissions Expense 11,000 i Yepreciation Expense 12000 i Itilities Expense 8900 i nsurance Expense 7300 i reight-Out 5300 i roperty Tax Expense 2500 i al Operating Expenses 151300 i ome from Operations 39,600 ier Revenues and Gains nterest Revenue 11000 ier Expenses and Losses nterest Expense 6200 i 4800 Income /(Loss) $ 44400 The Blue Spruce Corp. Retained Earnings Statement $ ta