Required information Problem 2-38A (Algo) Closing the accounts LO2-3, 2-8 [The following information applies to the questions displayed below.] The following selected accounts and account balances were taken from the records of Nowell Company. Except a otherwise indicated, all balances are as of December 31, Year 2, before the closing entries were recorded. Consulting revenue Cash Cash received from common stock issued during Year 2 Travel expense Dividends Cash flow from investing activities Rent expense Payment to reduce debt principal Retained earnings, January 1, Year 2 Salary expense Cash flow from operating activities Common stock, December 31, Year 2 Other operating expenses $ 10,900 7,900 3,400 750 1,700 2,500 1,750 23,400 14,300 3,000 2,900 11,900 1,700 Problem 2-38A (Algo) Part a Required a. Prepare the income statement Nowell would include in its Year 2 annual report.