Financial Statements and closing Entries The Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October 31, 2018, the end of the fiscal year, the accountant for The Gorman Group prepared an end-of-period spreadsheet, part of which follows: The Gorman Group End-of-Period Spreadsheet For the Year Ended October 31, 2018 Adjusted Trial Balance Account Title Dr. Cr. Cash $12,730 Accounts Receivable 27,710 Supplies 4,330 Prepaid Insurance 9,350 Land 98,000 Buildings 354,000 Accumulated Depreciation-Buildings 115,400 Equipment 256,000 Accumulated Depreciation Equipment 150,300 Accounts Payable 32,780 Salaries Payable 3,250 Unearned Rent 1,470 Common Stock 147,000 Retained Earnings 273,010 Dividends 24,600 Service Fees 467.420 467,420 4,940 Service Fees Rent Revenue Salaries Expense Depreciation Expense-Equipment Rent Expense Supplies Expense Utilities Expense Depreciation Expense-Buildings Repairs Expense Insurance Expense Miscellaneous Expense 335,100 18,200 15,200 10,780 9,740 6,500 5,370 2,940 5,020 1,195,570 1,195,570 Required: 1. Prepare an income statement. The Gorman Group Income Statement For the Year Ended October 31, 2018 Revenues: Total Revenues Total Revenues Expenses: Total Expenses Net income Prepare a Retained Earnings Statement. The Gorman Group Retained Earnings Statement For the Year Ended October 31, 2018 The Gorman Group Retained Earnings Statement For the Year Ended October 31, 2018 Prepare a balance sheet. The Gorman Group Balance Sheet October 31, 2018 Assets Liabilities Current assets: Current liabilities: Total liabilities Total current assets Property, plant, and equipment: Stockholders' Equity Property, plant, and equipment: Stockholders' Equity Total property, plant, and equipment Total stockholders' equity Total assets Total liabilities and stockholders' equity 2. Journalize the entries that were required to close the accounts at October 31. For a compound transaction, if a box does not require an entry, leave it blank. Date Account Debit Credit 2018 Oct. 31 Close revenues Oct. 31 Close ------ Oct. 31 Close expenses Oct. 31 Close income/loss Oct. 31 Close dividends Oct. 31 Close income/loss Oct. 31 Close dividends 3. If Retained Earnings had instead decreased $34,400 after the closing entries were posted, and the dividends remained the same, what would have been the amount of net income or net loss? Enter all amounts as positive numbers