Peterson Corporation Adjusted Trial Balance May 31, 2018 Account Debit Credit Cash $ 15,000 Accounts receivable 19,600 2,600 1500 37 100 $ 4,600 Supplies Prepaid rent Equipment Accumulated depreciation equipment Accounts payable Interest payable Unearned service revenue Income tax payable Note payable Common stock 9.200 1,050 400 2,900 18,500 18,000 Print Done Data Table Interest payable 1,050 Unearned service revenue 400 2,900 Income tax payable Note payable Common stock 18,500 18,000 Retained earnings 4,000 Dividends 10,000 96,150 Service revenue Depreciation expense equipment Salary expense Rent expense Interest expense 1900 40,200 11.100 3,000 3,300 2,500 7,000 Insurance expense Supplies expense Income tax expense Total S 154,800 $ 154,800 Print Done CopyrightSoucaun CITS Teserveu. US The adjusted trial balance for tho year of Peterson Corporation at May 31, 2018, follows. Click the icon to view the adjusted trial balance.) Read the requirements Requirement 1. Prepare Peterson Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet. Begin by preparing Peterson's 2018 income statement Peterson Corporation Income Statement Year Ended May 31, 2018 Income before tax Now prepare the statement of retained earnings. (Include a subtotal after the "Add" line of the statement.) Peterson Corporation Statement of Retained Earnings Year Ended May 31, 2018 Add: Subtotal Less: Prepare the balance sheet. (If a box is not used in the balance sheet leave the box empty, do not select a label or enter a zer into current and long-term sections.) Peterson Corporation Balance Sheet May 31, 2018 Assets Llabilities The adjusted trial balance for the year of Peterson Corporation at May 31, 2018, follows Click the icon to view the adjusted trial balance.) Read the requirements Prepare the balance sheet (if a box is not used in the balance sheet leave the box empty, do not select a label or enter a zero. Do not classify the balance sheet into current and long-term sections) Peterson Corporation Balance Shoot May 31, 2018 Assets Liabilities M Stockholders' Equity Loss Om Dan Stockholders' Equity Less Requirement 2. Peterson's lenders require that the company maintain a debt ratio no higher than 0.50. Calculato Peterson's debt ratio at May 31, 2018, to determine whether the company is in compliance with this debt restriction. If not, suggest a way that Peterson could have avoided this difficult situation Begin by selecting the labels and then enter the amounts to computer Peterson's debt ratio at May 31, 2018. (Rourd your calculation to two decimal places.) Debt ratio with thin debt rontriction at May 31, 2018, Peterson's londers require that the company maintain a debt ratio no higher than 0.50. Peterson is Submit Qul