Following are the transactions and adjustments that occurred during the first year of operations at Kissick Co.

1. Issued 194,000 shares of $5-par-value common stock for $970,000 in cash.
2. Borrowed $530,000 from Oglesby National Bank and signed a 11% note due in three years.
3. Incurred and paid $390,000 in salaries for the year.
4. Purchased $720,000 of merchandise inventory on account during the year.
5. Sold inventory costing $590,000 for a total of $910,000, all on credit.
6. Paid rent of $220,000 on the sales facilities during the first 11 months of the year.
7. Purchased $160,000 of store equipment, paying $51,000 in cash and agreeing to pay the difference within 90 days.
8. Paid the entire $109,000 owed for store equipment and $620,000 of the amount due to suppliers for credit purchases previously recorded.
9. Incurred and paid utilities expense of $36,000 during the year.
10. Collected $845,000 in cash from customers during the year for credit sales previously recorded.
11. At year-end, accrued $58,300 of interest on the note due to Oglesby National Bank.
12. At year-end, accrued $20,000 of past-due December rent on the sales facilities.

prepare KISSICK CO. Income Statement Sales $ 910,000 590,000 320,000 390,000 Cost of goods sold Gross profit Salaries expense Rent expense $ 0 Utilities expense 0 $ (70,000) 0 0 Interest expense Net loss $ (70,000) KISSICK CO. Balance Sheet Assets: $ 0X Cash Accounts receivable Merchandise inventory 0 X 0 X 0 0 0 0X 0 $ Total current assets Equipment Total assets Liabilities: Accounts payable Rent payable Interest payable $ 0X 0X 0X 0 0 0 Total current liabilities Notes payable Total liabilities 0X $ 0