Required information

$[$The following information applies to the questions

displayed below.$]$

The following is the adjusted trial balance of Sierra

Company.

$(1)$ Prepare an income statement for the year ended December $31.$

$(2)$ Prepare a statement of retained earnings for the year ended

December $31.$ The Retained earnings account balance was $$7,000$ on

December $31$ of the prior year. Required $1$

Required $2$

Prepare an income statement for the year ended December $31.$

SIERRA COMPANY

Income Statement

$\backslash$table$[[$For Year Ended December $31,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,],[,,]]$ Prepare a statement of retained earnings for the year ended December $31.$ The $F$

$$7,000$ on December $31$ of the prior year.

SIERRA COMPANY

Statement of Retained Earnings