P3-62A (similar to) The adjusted trial balance for the year of Dreamer Corporation at October 31, 2018, follows. Click the icon to view the adjusted trial balance.) Read the requirements Requirement 1. Prepare Dreamer Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet Begin by preparing Dreamer's 2018 income statement. Dreamer Corporation Income Statement Year Ended October 31, 2018 Choose from any list or enter any number in the input fields and then click Check Answer P3-62A (similar to) The adjusted trial balance for the year of Dreamer Corporation at October 31, 2018, follows B (Click the icon to view the adjusted trial balance.) Read the requirements. Income before tax Data Table Dreamer Corporation Adjusted Trial Balance October 31, 2018 Account Debit 12,000 Credit Cash 19,400 2,700 1,700 36,800 Accounts receivable Supplies ws Prepaid rent Equipment Accumulated depreciation equipment Accounts payable Interest payable Unearned service revenue Income tax payable $ 4,700 9,400 300 900 2.400 ar in Print Done 19,100 16,000 Note payable Common stock Retained earnings Dividends 5,000 8,000 92,300 1,900 39,500 Service revenue Depreciation expense-equipment Salary expense Rent expense Interest expense Insurance expense Supplies expense 11,200 3,200 3,300 2,900 7,500 Income tax expense Total $ 150,100 $ 150,100 i Requirements X 1. Prepare Dreamer Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet. 2. Dreamer's lenders require that the company maintain a debt ratio no higher than 0.50. Calculate Dreamer's debt ratio at October 31, 2018, to determine whether the company is in compliance with this debt restriction. If not, suggest a way that Dreamer could have avoided this difficult situation