Information necessary to prepare the year$-$end adjusting entries appears below.

The office equipment was purchased in $2022$ and is being depreciated using the straight$-$line method over an eight$-$year useful life

with no residual value.

Accrued salaries at year$-$end should be $$3,000.$

The company borrowed $$27,000$ on September $1,2024.$ The principal is due to be repaid in $10$ years. Interest is payable twice a

year on each August $31$ and February $28$ at an annual rate of $10\%.$

The company debits supplies when supplies are purchased. Supplies on hand at year$-$end cost $$300.$

Prepaid rent expired during the period is $$13,100.$

Cash dividends paid to shareholders during the year amounted to $$3,750.$

Required:

Complete the worksheet below.

$2-$a$.$ Use the information in the worksheet to prepare an income statement for $2024.$

$2-$b$.$ Use the information in the worksheet to prepare a statement of shareholders' equity for $2024.$

$2-$c$.$ Use the information in the worksheet to prepare a balance sheet as of December $31,2024.$

Prepare the necessary closing entries assuming that adjusting entries have been correctly posted to the accounts.