Requirement 1. Prepare Dreamer Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet. Begin by preparing Dreamer's 2018 income statement. Dreamer Corporation Income Statement Year Ended December 31, 2018 Revenue: Service revenue $ 90.200 Expenses: Depreciation expense $ 1,000 Salary expense 39.500 Rent expense 10,800 Interest expense 2,800 Insurance expense 4,200 2,500 60.800 Supplies expense 29.400 Income before tax Income tax expense 7,000 $ 22.400 Net income Now prepare the statement of retained earnings. (Include a subtotal after the "Add" line of the statement.) Dreamer Corporation Statement of Retained Earnings Year Ended December 31, 2018 Retained earnings, December 31, 2017 Add: Net income Subtotal Less Dividends 2,900 22.400 25.300 (6,000) $ 19,300 Retained earnings. December 31, 2018 Prepare the balance sheet. (If a box is not used in the balance sheet leave the box empty, do not select a label or enter a zero. Do not classify the balance sheet into current and long-term sections.) Dreamer Corporation Balance Sheet December 31, 2018 Assets Liabilities Cash Accounts receivable $ 10.000 Accounts payable 19,200 Interest payable $ 9,600 1,000 Supplies Prepaid rent 2.300 Unearned service revenue 300 1,400 Income tax payable 2,200 18,700 Note payable Total liabilities 31.800 Equipment $ 36.800 Stockholders' Equity Less: Accumulated depreciation-Equipment (4.600) 32.200 Common stock 14,000 Retained earnings 19.300 Total stockholders' equity 33,300