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Check my [The following information applies to the questions displayed below.) Aubrae and Tylor Williamson began operations of their furniture repair shop (Furniture Refinishers, Inc.)

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Check my [The following information applies to the questions displayed below.) Aubrae and Tylor Williamson began operations of their furniture repair shop (Furniture Refinishers, Inc.) on January 1, 2019. The annual reporting period ends December 31. The trial balance on January 1, 2020, was as follows: Credit Debit 10,000 9,000 3. eee 11,000 5, eee 8, Furniture Refinishers, Inc. Trial Balance on January 1, 2020 Account Titles Cash Accounts receivable Supplies Small tools Equipment Accumulated depreciation (on equipment) Other noncurrent assets (not detailed to simplify) Accounts payable Dividends payable Notes payable Wages payable Interest payable Income taxes payable Unearned revenue Common stock (70,eee shares, $e. 10 par value) Additional paid-in capital Retained earnings Service revenue Depreciation expense Wages expense Interest expense Income tax expense Miscellaneous expenses (not detailed to simplify) Totals 7,000 10,000 13,000 38. eee 38,000 Transactions during 2020 follow: a. Borrowed $40,000 cash on July 1, 2020, signing a one-year, 10 percent note payable. b. Purchased equipment for $16,000 cash on July 1, 2020. c. Sold 10,000 additional shares of capital stock for cash at $.50 market value per share at the beginning of the year. d. Earned $125,000 in revenues for 2020, including $25,000 on Credit and the rest in cash. e. Incurred $35,000 in wages expense and $11,000 in miscellaneous expenses for 2020, with $7,000 on credit and the rest paid with cash. Note: Wages are paid in cash. f. Purchased additional small tools, $8,000 cash. g. Collected accounts receivable. $9,000. h. Paid accounts payable, $12,000. i. Purchased $21,000 of supplies on account J. Received a $7,000 deposit on work to start January 15, 2021. k. Declared a cash dividend on December 1. $12.000 paid on December 31. Data for adjusting entries: 1. Supplies of $5,000 and small tools of $15.000 were counted on December 31, 2020 (debit Miscellaneous Expenses). m. Depreciation for 2020, $4,000. n. Interest accrued on notes payable to be computed). o. Wages earned since the December 24 payroll but not yet paid, $3,000 p. Income tax expense was $3,000. payable in 2021 CD 5 ! Required information Prepare an income statement (including earnings per share).( FURNITURE REFINISHERS, INC. Income Statement For the Year Ended December 31, 2020 Operating revenues: Service revenue $ 125,000 Operating expenses: Depreciation expense Wages expense Income tax expense Interest expense Miscellaneous expenses Total operating expenses X 4,000 38,000 2,000 3,000 X 34,000 81,000 Other item:

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