Required information The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances: Accounts Debits Credits Cash $18,000 Accounts Receivable 7,600 Supplies 3,600 Equipment 13,000 Accumulated Depreciation Salaries Payable $ 4,200 6,200 Common Stock 23,000 Retained Earnings 8,800 Totals $42, 200 $42,200 The following is a summary of the transactions for the year: 1. March 12 Provide services to customers, $56,000, of which $20,600 is on account. 2. May 2 Collect on accounts receivable, $17,600. 3. June 30 Issue shares of common stock in exchange for $5,000 cash. 4. August 1 Pay salaries of $6,200 from 2020 (prior year). 5. September 25 Pay repairs and maintenance expenses, $12,600. 6. October 19 Purchase equipment for $7,600 cash. 7. December 30 Pay $1,000 cash dividends to stockholders. 8-a. Prepare the income statement for the year ended December 31, 2021. RED STORM CLEANERS Income Statement For the Year Ended December 31, 2021 Expenses: Total expenses 0 8-b. Prepare the classified balance sheet for the year ended December 31, 2021. (Amounts to be deducted should be indicated by a minus sign.) RED STORM CLEANERS Balance Sheet December 31, 2021 Assets Liabilities Current Assets: Total Current Assets Long-term assets: Total Assets EA 0 Current Liabilities: Stockholders' Equity Total Stockholders' Equity 0 Total Liabilities and Stockholders' Equity 0 0