Financial Statements and Closing Entries The Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October 31, 2019, 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, 2019 Adjusted Trial Balance Cr. Account Title Dr. Cash 12,170 26,500 Accounts Receivable 4,140 Supplies Prepaid Insurance 8,940 Land 94,000 Buildings 339,000 Accumulated Depreciation-Buildings 110,300 Equipment 245,000 143,700 Accumulated Depreciation-Equipment Accounts Payable 31,340 Salaries Payable 3,110 Unearned Rent 1,410 Nicole Gorman, Capital 402,740 Nicole Gorman, Drawing 23,500 Service Fees 446,910 Rent Revenue 4,720 Salaries Expense 320,390 17,400 Depreciation Expense-Equipment Rent Expense 14,600 Salaries Expense 320,390 Depreciation Expense-Equipment 17,400 Rent Expense 14,600 Supplies Expense 10,310 Utilities Expense 9,320 Depreciation Expense-Buildings 6,210 Repairs Expense 5,130 Insurance Expense 2,820 Miscellaneous Expense 4,800 1,144,230 1,144,230 Required: 1. Prepare an income statement. Gorman Group Income Statement For the Year Ended October 31, 2019 Revenues: Total revenues Expenses: Total expenses Net income Prepare a statement of owner's equity (no additional investments were made during the year) Gorman Group Statement of Owner's Equity For the Year Ended October 31, 2019 Prepare a balance sheet. Prepare a balance sheet. Gorman Group Balance Sheet October 31, 2019 Assets Liabilities Current assets: Current liabilities: Total liabilities Total current assets Property, plant, and equipment: Owner's Equity Total property, plant, and equipment Total assets Total liabilities and owner's equity 2. Journalize the entries that were required to close the accounts at October 31. For a compound transaction, if an amount box does not require an entry, leave it blank. Debit Credit Date Account Oct. 31 Oct. 31 3. If the balance of Nicole Gorman, Capital had instead increased $115,000 after the closing entries were posted and the withdrawals remained the same, what would have been the amount of net income or net loss