On December 31, 2024, Paula Cooking Services reports the following revenues and expenses. Service revenue Postage expense Legal fees expense $ 78,000 1,650 2,550 Rent expense Salaries expense Supplies expense $ 10,900 27,000 16,000 In addition, the balance of common stock at the beginning of the year was $350,000, and the balance of retained earnings was $38,000. During the year, the company issued additional shares of common stock for $28,000 and paid dividends of $16,000. Required: 1. Prepare an income statement. 2. Prepare a statement of stockholders' equity. Complete this question by entering your answers in the tabs below. Income Statement Stmt of Stockholders Equity Prepare an Income Statement. PAULA COOKING SERVICES Income Statement For the Year Ended December 31, 2024 Service Revenue Expenses: Postage Expense $ 1,650 Legal Fees Expense 2,550 Rent Expense 10,900 Salaries Expense 27,000 Supplies Expense 16,000 Total Expenses $ 78,000 $ GA 58,100 19,900 On December 31, 2024, Paula Cooking Services reports the following revenues and expenses. Service revenue Postage expense Legal fees expense $ 78,000 Rent expense 1,650 Salaries expense 2,550 Supplies expense $ 10,900 27,000 16,000 In addition, the balance of common stock at the beginning of the year was $350,000, and the balance of retained earnings was $38,000. During the year, the company issued additional shares of common stock for $28,000 and paid dividends of $16,000. Required: 1. Prepare an income statement. 2. Prepare a statement of stockholders' equity. Complete this question by entering your answers in the tabs below. Income Statement Stmt of Stockholders Equity Prepare a Statement of Stockholders' Equity. PAULA COOKING SERVICES Statement of Stockholders' Equity For the Year Ended December 31, 2024 Beginning Balance Common Stock Retained Earnings Total Stockholders' Equity $ 0 $ 0 $ 0 Ending Balance < Income Statement Strit of Stockholders Equity >