Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Stark company has the following adjusted accounts with normal balances at its December 31 year-end. Exercise 3-17 (Algo) Preparing Financial Statements LO P5 Use the adjusted accounts for Stark Company to prepare the (1) income statement and (2) statement of retained earnings for the year ended December 31 and (3) balance sheet at December 31. The Retained Earnings account balance was $74,800 on December 31 of Prepare the income statement for the year ended December 31. Prepare the statement of retained earnings for the year ended December 31 . The Retained Earnings account balance was $74,800 on December 31 of the prior year. Prepare the balance sheet at December 31 . \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|c|}{ Liabilities } \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total liabilities & & 0 \\ \hline \multicolumn{3}{|c|}{ Equity } \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total equity & & 0 \\ \hline Total liabilities and equity & $ & 0 \\ \hline \end{tabular}