Required information The following information applies to the questions displayed below Pastina Company sells various types of pasta to grocery chains as private label brands The company's fiscal year end is December 31 The unadjusted trial balance as of December 31, 2018, appears below Account Title Debits Credits Cash 30,000 Accounts receivable 40,000 Supplies 1,500 Inventory 60,000 Note receivable 20,000 Interest receivable 0 Prepaid rent 2,000 Prepaid insurance 0 Office equipment 80,000 Accumulated depreciationoffice equipment 30,000 Accounts payable 31,000 Salaries and wages payable 0 Note payable 50,000 Interest payable 0 Deferred revenue 0 Common stock 60,000 Retained earnings 24,500 Sales revenue 148,000 Interest revenue 0 Cost of goods sold 70,000 Salaries and wages expense 18,900 Rent expense 11,000 Depreciation expense 0 Interest expense 0 Supplies expense 1,100 Insurance expense 6,000 Advertising expense 3,000 Totals 343,500 343,500 Information necessary to prepare the year end adjusting entries appears below Depreciation on the office equipment for the year is $10,000 Employee salaries and wages are paid twice a month, on the 22nd for salaries and wages earned from the 1st through the 15th, and on the 7th of the following month for salaries and wages earned from the 16th through the end of the month Salaries and wages earned from December 16 through December 31, 2018, were $1,500 On October 1, 2018, Pastina borrowed $50,000 from a local bank and signed a note The note requires interest to be paid annually on September 30 at 12 The principal is due in 10 years On March 1, 2018, the company lent a supplier $20,000 and a note was signed requiring principal and interest at 8 to be paid on February 28, 2019 On April 1, 2018, the company paid an insurance company $6,000 for a two year fire insurance policy The entire $6,000 was debited to insurance expense $800 of supplies remained on hand at December 31, 2018 A customer paid Pastina $2,000 in December for 1,500 pounds of spaghetti to be delivered in January 2019 Pastina credited sales revenue On December 1, 2018, $2,000 rent was paid to the owner of the building The payment represented rent for December 2018 and January 2019 at $1,000 per month For requirement 4, assume that no common stock was issued during the year and that $4,000 in cash dividends were paid to shareholders during the year 4 Prepare the income statement, statement of shareholders' equity and classified balance sheet for the year ended December 31, 2018

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Required information [The following information applies to the questions displayed below.] Pastina Company sells various types of pasta to grocery chains as private label brands.

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[The following information applies to the questions displayed below.]

Pastina Company sells various types of pasta to grocery chains as private label brands. The company's fiscal year-end is December 31. The unadjusted trial balance as of December 31, 2018, appears below.

Account Title	Debits	Credits
Cash	30,000
Accounts receivable	40,000
Supplies	1,500
Inventory	60,000
Note receivable	20,000
Interest receivable	0
Prepaid rent	2,000
Prepaid insurance	0
Office equipment	80,000
Accumulated depreciationoffice equipment		30,000
Accounts payable		31,000
Salaries and wages payable		0
Note payable		50,000
Interest payable		0
Deferred revenue		0
Common stock		60,000
Retained earnings		24,500
Sales revenue		148,000
Interest revenue		0
Cost of goods sold	70,000
Salaries and wages expense	18,900
Rent expense	11,000
Depreciation expense	0
Interest expense	0
Supplies expense	1,100
Insurance expense	6,000
Advertising expense	3,000
Totals	343,500	343,500

Information necessary to prepare the year-end adjusting entries appears below.

Depreciation on the office equipment for the year is $10,000.
Employee salaries and wages are paid twice a month, on the 22nd for salaries and wages earned from the 1st through the 15th, and on the 7th of the following month for salaries and wages earned from the 16th through the end of the month. Salaries and wages earned from December 16 through December 31, 2018, were $1,500.
On October 1, 2018, Pastina borrowed $50,000 from a local bank and signed a note. The note requires interest to be paid annually on September 30 at 12%. The principal is due in 10 years.
On March 1, 2018, the company lent a supplier $20,000 and a note was signed requiring principal and interest at 8% to be paid on February 28, 2019.
On April 1, 2018, the company paid an insurance company $6,000 for a two-year fire insurance policy. The entire $6,000 was debited to insurance expense.
$800 of supplies remained on hand at December 31, 2018.
A customer paid Pastina $2,000 in December for 1,500 pounds of spaghetti to be delivered in January 2019. Pastina credited sales revenue.
On December 1, 2018, $2,000 rent was paid to the owner of the building. The payment represented rent for December 2018 and January 2019 at $1,000 per month.

For requirement 4, assume that no common stock was issued during the year and that $4,000 in cash dividends were paid to shareholders during the year. 4. Prepare the income statement, statement of shareholders' equity and classified balance sheet for the year ended December 31, 2018.