Sharpe Incorporated
Trial Balance
December 31, 2013
Account Name	Debit	Credit
Cash	676,725
Account Receivable	1,475,000
Prepaid Insurance	34,080
Equipment	290,000
Investment In Precision	157,625
Account Payable		30,000
Notes Payable		36,000
Cash Dividends Payable		19,700
Bonds Payable		1,000,000
Bonds Premium		87,720
Common Stock		127,500
PIC - Common Stock		350,500
Preferred Stock		288,000
PIC - Preferred Stock		14,400
PIC Treasury Stock		1,300
Retained Earnings	26,900
Treasury Stock	11,000
Fees Earned		1,975,000
Advertising Expense	120,000
Commissions Expense	63,000
Legal & Accounting Expense	18,000
Medical Expense	32,000
Miscellaneous Expense	8,400
Rent Expense	170,000
Salary Expense	760,000
Payroll Tax Expense	45,600
Utilitites Expense	13,200
Interest Expense	36,090
Earnings From Investment		7,500
	3,937,620	3,937,620

Sharpe Incorporated
Adjusted Trial Balance
December 31, 2013
Account Name	Debit	Credit
Cash	676,725
Account Receivable	1,475,000
Prepaid Insurance	18,460
Equipment	290,000
Accumulated Depreciation		28,160
Investment In Precision	157,625
Accounts Payable		30,000
Notes Payable		36,000
Cash Dividends Payable		19,700
Vacation Pay Payable		26,000
Interest Payable		420
Bonds Payable		1,000,000
Bonds Premium		87,720
Common Stock		127,500
PIC - Common Stock		350,500
Preferred Stock		288,000
PIC - Preferred Stock		14,400
PIC Treasury Stock		1,300
Retained Earnings	26,900
Treasury Stock	11,000
Fees Earned		1,975,000
Advertising Expense	120,000
Commissions Expense	63,000
Depreciation Expense	28,160
Insurance Expense	15,620
Legal & Accounting Expense	18,000
Medical Expense	32,000
Miscellaneous Expense	8,400
Rent Expense	170,000
Salary Expense	760,000
Payroll Tax Expense	45,600
Utilitites Expense	13,200
Vacation Pay Expense	26,000
Interest Expense	36,510
Earnings from Investment		7,500
	3,992,200	3,992,200

1.)Find Income Statement

Name:	0
Sharpe Incorporated
Income Statement
For the Year Ended December 31, 2013
Revenue:
Operating Expenses:
Other:
Net Income

2).Find Retaining Earnings

Follow this guide line this is not the answer

	Retained earnings, January 1, 2017						$ -
	Net income					$257,205
	Less dividends
	Cash Dividends -- Preferred Stock				$ 40,000
	Cash Dividends -- Common Stock				8,000
	Total dividends					48,000
	Increase in Retained Earnings						209,205
	Retained earnings, December 31, 2017						$ 209,205

Sharpe Incorporated
Statement of Retained Earnings
For the Year Ended December 31, 2013
	Retained Earnings, beginning of year
	Less: Dividends
	Retained Earnings, end of year