The following are the trial balance and the other information related to William Consulting Engineer.

WILLIAM CONSULTING ENGINEER TRIAL BALANCE DECEMBER 31, 2020
		Debit			Credit
Cash		$29,500
Accounts Receivable		50,100
Allowance for Doubtful Accounts					$711
Supplies		1,500
Prepaid Insurance		1,620
Equipment		32,900
Accumulated Depreciation-Equipment					5,765
Notes Payable					7,200
Common Stock					10,000
Retained Earnings					26,381
Service Revenue					109,916
Rent Expense		9,243
Salaries and Wages Expense		32,830
Utilities Expenses		1,660
Office Expense		620
		$159,973			$159,973

1.		Fees received in advance from clients $5,970, which were recorded as revenue.
2.		Services performed for clients that were not recorded by December 31, $4,863.
3.		Bad debt expense for the year is $1,508.
4.		Insurance expired during the year $513.
5.		Equipment is being depreciated at 10% per year.
6.		William gave the bank a 90-day, 10% note for $7,200 on December 1, 2020.
7.		Rent of the building is $711 per month. The rent for 2020 has been paid, as has that for January 2021, and recorded as Rent Expense.
8.		Office salaries and wages earned but unpaid December 31, 2020, $2,740.

From the trial balance and other information given, prepare annual adjusting entries as of December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)

Prepare an income statement for 2020. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Prepare a retained earnings statement for 2020. William paid a $18,020 cash dividend during the year. (recorded in Retained Earnings.) (List items that increase owner's capital first.)

Prepare a classified balance sheet for 2020. (List current assets in the order of liquidity.)