Exercise 3-7 Preparing financial statements LO P3

The following is the adjusted trial balance of Wilson Trucking Company.

Account Title	Debit			Credit
Cash	$	7,400
Accounts receivable		16,500
Office supplies		2,000
Trucks		165,000
Accumulated depreciationTrucks				$	33,990
Land		75,000
Accounts payable					11,400
Interest payable					3,000
Long-term notes payable					52,000
Common stock					17,000
Retained earnings					142,867
Dividends		19,000
Trucking fees earned					121,500
Depreciation expenseTrucks		21,924
Salaries expense		56,984
Office supplies expense		7,500
Repairs expenseTrucks		10,449
Totals	$	381,757		$	381,757

The Retained Earnings account balance is $142,867 at December 31, 2016. (1) Prepare the income statement for the year ended December 31, 2017. (2) Prepare the statement of retained earnings for the year ended December 31, 2017.