Preparing Financial Statements The adjusted trial balance of Monona Inc. as of December 31 follows.

Adjusted Trial Balance, Dec. 31
Acct No.	Accounts	Debit	Credit
100	Cash	$50,400
104	Accounts receivable	98,000
105	Allowance for doubtful accounts		$4,970
106	Inventory	112,000
108	Prepaid insurance	6,720
150	Land	16,030
155	Building	280,000
156	Equipment	84,000
162	Accumulated depreciation		17,500
202	Accounts payable		105,000
204	Salaries payable		6,300
208	Deferred service revenue		2,800
210	Interest payable		700
240	Note payable		210,000
302	Common stock		259,000
304	Retained earnings		16,800
310	Dividends	7,000
400	Sales		700,000
402	Service revenue		35,000
510	Cost of goods sold	336,000
512	Salaries expense	322,000
520	Repair expense	2,800
526	Insurance expense	5,040
528	Depreciation expense	18,480
540	Interest expense	16,800
542	Bad debt expense	2,800
	Net earnings	$1,358,070	$1,358,070

a. Prepare the income statement for the year ended December 31. b. Prepare the statement of stockholders equity for the year ended December 31. Assume that all common stock was issued prior to this year. c. Prepare the balance sheet on December 31.