1. Financial Statements

   The following are the amounts of the assets and liabilities of Journey Travel Agency at December 31, 2018, the end of the year, and its revenue and expenses for the year follow. The retained earnings were $40,960 on January 1, 2018, the beginning of the year. During the year, dividends of $20,100 were paid.

   Accounts payable	$14,370
   Accounts receivable	41,940
   Cash	155,310
   Common stock	15,000
   Fees earned	539,000
   Land	50,000
   Miscellaneous expense	4,300
   Rent expense	71,690
   Supplies	6,690
   Supplies expense	11,470
   Utilities expense	43,010
   Wages expense	204,820

   Required:

   1. Prepare an income statement for the year ended December 31, 2018.

   Journey Travel Agency Income Statement For the Year Ended December 31, 2018

   Accounts ReceivableCashCommon StockFees EarnedWages Expense		$- Select -
   Expenses:
   Accounts PayableDividendsFees EarnedSuppliesWages Expense	$- Select -
   Accounts PayableAccounts ReceivableCommon StockFees EarnedRent Expense	- Select -
   Accounts PayableCashFees EarnedSuppliesUtilities Expense	- Select -
   Accounts ReceivableDividendsFees EarnedSuppliesSupplies Expense	- Select -
   Accounts PayableAccounts ReceivableCashCommon StockMiscellaneous Expense	- Select -
   Total expenses		fill in the blank 30f6e6018004070_13
   Net IncomeNet Loss		$- Select -

   2. Prepare a retained earnings statement for the year ended December 31, 2018. If a net loss is incurred or dividends were paid, enter that amount as a negative number using a minus sign.

   Journey Travel Agency Retained Earnings Statement For the Year Ended December 31, 2018

   CashDividendsNet incomeRetained earnings, January 1, 2018Retained earnings, December 31, 2018		$- Select -
   CashNet incomeNet lossRetained earnings, January 1, 2018Retained earnings, December 31, 2018	$- Select -
   CashDividendsRetained earnings, January 1, 2018Retained earnings, December 31, 2018	- Select -
   Change in retained earningsNet incomeNet lossStockholder investment		- Select -
   CashDividendsNet incomeRetained earnings, January 1, 2018Retained earnings, December 31, 2018		$- Select -

   3. Prepare a balance sheet as of December 31, 2018. When entering assets, enter them in order of liquidity.

   Journey Travel Agency Balance Sheet December 31, 2018

   Assets
   Accounts payableCommon stockCashFees earnedRetained earnings	$- Select -
   Accounts payableAccounts receivableCommon stockFees earnedRetained earnings	- Select -
   Accounts payableCommon stockFees earnedRetained earningsSupplies	- Select -
   Accounts payableCommon stockLandMiscellaneous expenseRetained earningsSupplies expense	- Select -
   Total assets		$fill in the blank 2b6df40e201cf9c_9
   Liabilities
   Accounts payableAccounts receivableCashRetained earningsTaxes expense		$- Select -
   Stockholders' Equity
   Accounts payableAccounts receivableCommon stockCashSupplies	$- Select -
   Accounts payableAccounts receivableCashRetained earningsSupplies	- Select -
   Total stockholders' equity		fill in the blank 2b6df40e201cf9c_16
   Total liabilities and stockholders' equity		$fill in the blank 2b6df40e201cf9c_17

   4. What item appears on both the retained earnings statement and the balance sheet?

   CashRetained earningsFees earnedNet incomeWithdrawals