The adjusted trial balance for the year of Griffith Corporation at October 31, 2018, follows. Click the icon to view the adjusted trial balance Read the requirements Requiroment 1. Prepare Griffith Corporation's 2018 single-stop income statement, statement of retained earnings, and balance sheet Begin by preparing Gratis 2018 income statement Griffith Corporation Income Statement Year Ended October 31, 2018 Income before tax Requirements 1. Prepare Griffith Corporation's 2018 single-step income statement, statement of retained earnings, and balance sheet. 2. Griffith's lenders require that the company maintain a debt ratio no higher than 0.50. Calculate Griffith'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 Griffith could have avoided this difficult situation. Griffith Corporation Adjusted Trial Balance October 31, 2018 Account Debit Credit Cash 16,000 19,500 2,800 1,500 37,000 Accounts receivable Supplies Prepaid rent Equipment Accumulated depreciation--equipment Accounts payable Interest payable Unearned service revenue Income tax payable Note payable $ 4,500 8,900 200 1,000 2,500 Common stock 18,100 10,000 Data table 200 Interest payable Unearned service revenue 1,000 2,500 18,100 10,000 2,900 6,000 103,400 Income tax payable Note payable Common stock Retained earnings Dividends Service revenue Depreciation expense-equipment Salary expense Rent expense Interest expense Insurance expense Supplies expense Income tax expense 1,100 40,100 10,700 3,200 3,400 3,000 7,200 Total $ 151,500 $ 151,500