Required information M4-14 through M4-17 (Algo) Reporting an Income Statement, Reporting a Statement of Retained Earnings, Reporting a Balance Sheet and Recording Closing Journal Entries [LO 4-4, LO 4-5] [The following information applies to the questions displayed below.] The Sky Blue Corporation has the following adjusted trial balance at December 31. Cash Accounts Receivable Prepaid Insurance Notes Receivable (long-term) Equipment Accumulated Depreciation Accounts Payable Salaries and Wages Payable Income Taxes Payable Deferred Revenue Common Stock Retained Earnings Dividends Sales Revenue Rent Revenue Debit $ 1,420 Credit 3,900 4,200 4,900 21,500 $ 6,400 7,320 1,950 4,800 980 4,300 1,760 490 59,130 490 Salaries and Wages Expense 25,400 Depreciation Expense 3,200 Utilities Expense 6,120 Insurance Expense 3,300 Rent Expense Income Tax Expense Total 7,900 4,800 $ 87,130 $ 87,130 M4-14 (Algo) Required: 1. Prepare an income statement for the year ended December 31. 2. How much net income did the Sky Blue Corporation generate during the year?