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Item 1 5 points Check my work Check My Work button is now enabled 1 Item 1 Problem 3 - 5 B ( Algo )

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Problem 3-5B (Algo) Prepare financial statements from an adjusted trial balance (LO3-5)
Lilac Designs provides consulting services related to home decoration. Lilac Designs provides customers with recommendations for a full range of home dcor, including window treatments, carpet and wood flooring, paint colors, furniture, and much more. Below is the year-end adjusted trial balance of Lilac Designs.
LILAC DESIGNS
Adjusted Trial Balance
December 31,2024
Accounts Debits Credits
Cash $ 5,300
Accounts Receivable 4,300
Supplies 2,300
Prepaid Rent 6,300
Buildings 113,000
Accumulated Depreciation $ 21,300
Accounts Payable 3,300
Salaries Payable 4,300
Utilities Payable 1,000
Notes Payable (due in four years)23,000
Common Stock 53,000
Retained Earnings 15,300
Service Revenues 114,100
Salaries Expense 42,300
Rent Expense 18,300
Depreciation Expense 7,300
Supplies Expense 8,300
Advertising Expense 13,300
Utilities Expense 12,300
Interest Expense 2,300
Totals $ 235,300 $ 235,300
Required:
Prepare an income statement for the year ended December 31,2024.
Prepare the statement of stockholders equity, note that during the year the company issued additional common stock of $10,000. This amount is included in the amount for Common Stock in the adjusted trial balance.
Prepare the classified balance sheet for the year ended December 31,2024.

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