Score: 0 of 7 pts 2 of 6 (1 complete) HW Score: 23.33%. 7 of 30 pts P3-62A (similar to) Question Help The adjusted trial balance for the year of Schneider Corporation at October 31, 2018, follows Click the icon to view the adjusted trial balance.) Read the requirements Requirement 1. Prepare Schneider Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet Begin by preparing Schneider's 2018 income statement. Schneider Corporation Income Statement Year Ended October 31, 2018 Income before tax Data Table - Schneider Corporation Adjusted Trial Balance October 31, 2018 Account Debit Credit Cash $ 14,000 Accounts receivable 18,800 Supplies 2,500 Prepaid rent 2,000 Equipment 36,500 Accumulated depreciation--equipment 4.800 Accounts payable 9,200 Interest payable 200 Unearned service revenue 400 Income tax payable 3,000 Note payable 19,100 Common stock 15,000 Retained earnings 2,500 Dividends 3,000 Service revenue 90 800 Depreciation expense-equipment 1,800 Salary expense 40,200 Rent expense 10,300 Interest expense 3,000 Insurance expense 3,500 Supplies expense 2,700 Income tax expense 6,700 $ Total 145,000 $ 145,000 Print Done X Requirements 1. Prepare Schneider Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet. 2. Schneider's lenders require that the company maintain a debt ratio no higher than 0.50. Calculate Schneider's debt ratio at October 31, 2018, to determine whether the company is in compliance with this debt restriction. If not, suggest a way that Schneider could have avoided this difficult situation. Print Done