Cash Accounts Accounts Receivable Prepaid Rent Supplies Equipment Accumulated Depreciation Accounts Payable Salaries Payable Interest Payable Notes Payable (due in two years) Common Stock Retained Earnings Service Revenue Salaries Expense Rent Expense Depreciation Expense Interest Expense Totals Debit $ 10,700 137,000 Credit 4,700 23,500 270,000 $122,000 10,700 9,700 3,700 27,000 170,000 47,000 370,000 270,000 13,500 27,000 3,700 $760,100 $760,100 Required: 1. Prepare an income statement for the year ended December 31, Year 1. Expenses: Income Statement For the Year Ended December 31, Year 1 Total expenses