S&J Lawn Service Company maintains its books on a cash basis. However, the company recently borrowed $100,000 from a local bank, and the bank requires S&J to provide annual financial statements prepared on an accrual basis. During 2024, the following cash flows were recorded: Cash collected for: Services to customers Cash paid for: Salaries Supplies Rent Insurance Miscellaneous Net operating cash flow $ 320,000 $ 180,000 25,000 12,000 6,000 20,000 243,000 $ 77,000 You are able to determine the following information about accounts receivable, prepaid expenses, and accrued liabilities: January 1, December 31, 2024 Accounts receivable Prepaid insurance Supplies Accrued liabilities (for miscellaneous expenses) $ 32,000 2024 $27,000 2,000 1,000 1,500 2,400 3,400 In addition, you learn that the bank loan was dated September 30, 2024, with principe and interest at 6% due in one year. Depreciation on the company's equipment is $10,000 for the year. Required: Prepare an accrual basis income statement for 2024. (Ignore income taxes.)