S&J Lawn Service Company maintains its books on a cash basis. However, the company recently borrowed $250,000 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 $470,000 $ 195,000. 40,000 24,000 7,000 35,000 301,000 $ 169,000 You are able to determine the following information about accounts receivable, prepaid expenses, and accrued liabilities: Accounts receivable Prepaid insurance Supplies Accrued liabilities (for miscellaneous expenses) January 1, 2024 $ 36,000 December 31, 2024 $ 29,000 3,500 3,300 5,800 2,500 3,900 In addition, you learn that the bank loan was dated September 30, 2024, with principal and interest at 6% due in one year. Depreciation on the company's equipment is $14,000 for the year. Required: Prepare an accrual basis income statement for 2024. (Ignore income taxes.) 5&J LAWN SERVICE COMPANY Income Statement For the Year Ended December 31, 2024 Operating expenses