Arrange Paragraph Q3: Financial Statements The following is a list of accounts and their balances for Nature Valley Cleaners as at December 31, 2020. The accounts are in alphabetical order and have normal balances. Prepare an income statement, statement of changes in equity for the year ended December 31, 2020, and a balance sheet as at December 31, 2020. Account payable Accumulated amortization - equipment Amortization expense - equipment Cash Equipment Insurance expense Les Valley, capital, January 1, 2020 Les Valley, withdrawals Prepaid insurance Salaries expense Salaries payable Service revenue Supplies Supplies expense Unearned service revenue $4,000 7.000 1.000 2.400 40,000 200 17,000 8.000 1.800 16,000 2.000 44,000 4.000 2.000 1.400 Answer: Arrange Supplies expense Unearned service revenue 2.000 1,400 Answer: Nature Valley Cleaners Income Statement $ $ Revenue: Service revenue Expenses Amortization expense - equipment Insurance expense Salaries expense Supplies expense Total expenses Net income 2.000 19.200 $ Nature Valley Cleaners Statement of Owner's Equity $ Les Valley, capital, January 1, 2020 Add: Net income 41,800 Less: withdrawals Les Valley, capital, December 31, 2020 $33,800 Nature Valley Cleaners Balance Sheet $ ASSETS Cash Supplies Prepaid insurance Equipment Less: Accumulated amortization Total assets $ 33 000 $41.200 LIABILITIES Accounts payable Salaries pavable es LIABILITIES Accounts payable Salaries payable Unearned service revenue Total liabilities $7,400 OWNER'S EQUITY Les Valley, capital Total liabilities and owner's equity $41200