Crane Ltd. has a September 30 fiscal year end and a 15% income tax rate. The following information is available for its 2021 year end: 1. 2. Earned $ 508,000 of service revenue and incurred $ 425,000 of operating expenses. Interest expense v On October 5, 2020, paid $ 51,100 of dividends that had been declared on September 25, 2020. On September 28, 2021, declared $ 39,800 of dividends payable on October 8, 2021. Retained earnings on September 30, 2020, were $ 228,500. 3. 4. 5. Issued common shares for $ 28,000 cash on July 2, 2021. Prepare an income statement. CRANE LTD. Income Statement $ $ $ Journalize the adjustment for income tax assuming no income tax instalments were made during the year. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit Sep. 30 (To record income tax expense.) Prepare a statement of retained earnings. (List items that increase retained earnings first.) CRANE LTD. Statement of Retained Earnings $ $ Interest expense was $ 2,700