Required information

The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances:

Accounts	Debits				Credits
Cash	$	12,000
Accounts Receivable		6,400
Supplies		2,400
Equipment		18,000
Accumulated Depreciation					$	6,200
Salaries Payable						8,700
Common Stock						17,000
Retained Earnings						6,900
Totals	$	38,800			$	38,800

The following is a summary of the transactions for the year:

1.		March		12		Provide services to customers, $44,000, of which $19,400 is on account.
2.		May		2		Collect on accounts receivable, $16,400.
3.		June		30		Issue shares of common stock in exchange for $6,000 cash.
4.		August		1		Pay salaries of $8,700 from 2020 (prior year).
5.		September		25		Pay repairs and maintenance expenses, $11,400.
6.		October		19		Purchase equipment for $6,400 cash.
7.		December		30		Pay $1,100 cash dividends to stockholders.

8-a. Prepare the income statement for the year ended December 31, 2021.