The following are the trial balance and the other information related to Bruce Sheffield, who operates a construction hauling business.

SHEFFIELD

TRIAL BALANCE

DECEMBER 31, 2020

Debit

Credit

Cash$35,500Accounts Receivable50,800Allowance for Doubtful Accounts$2,650Supplies3,080Prepaid Insurance1,400Equipment34,500Accumulated DepreciationEquipment4,500Notes Payable8,400Owner's Capital45,700Service Revenue103,610Rent Expense6,500Salaries and Wages Expense30,900Utilities Expenses1,320Office Expense860$164,860

$164,860

1.Fees received in advance from clients $4,400.2.Services performed for clients that were not recorded by December 31, $4,300.3.Equipment is being depreciated at 8% per year.4.Bad debt expense for the year is $1,490.5.Insurance expired during the year $500.6.Sheffield gave the bank a 90-day, 5% note for $8,400 on December 1, 2020.7.Rent of the building is $500 per month. The rent for 2020 has been paid, as has that for January 2021.8.Office salaries and wages earned but unpaid December 31, 2020, $1,440.

Sheffield withdrew $14,000 cash for personal use during the year.

1-From the trial balance and other information given, annual adjusting entries as of December 31, 2020.

2-Prepare income statement for 2020.

3-Prepare statement of owner's equity for 2020.

4-Prepare classified balance sheet for 2020.