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

DANIEL CONSULTING ENGINEER TRIAL BALANCE DECEMBER 31, 2020
		Debit			Credit
Cash		$29,500
Accounts Receivable		49,600
Allowance for Doubtful Accounts					$767
Supplies		1,770
Prepaid Insurance		1,420
Equipment		27,200
Accumulated Depreciation-Equipment					6,028
Notes Payable					7,200
Common Stock					10,000
Retained Earnings					27,966
Service Revenue					103,700
Rent Expense		9,971
Salaries and Wages Expense		33,700
Utilities Expenses		1,750
Office Expense		750
		$155,661			$155,661

1.		Fees received in advance from clients $6,110, which were recorded as revenue.
2.		Services performed for clients that were not recorded by December 31, $4,582.
3.		Bad debt expense for the year is $1,485.
4.		Insurance expired during the year $471.
5.		Equipment is being depreciated at 10% per year.
6.		Daniel gave the bank a 90-day, 10% note for $7,200 on December 1, 2020.
7.		Rent of the building is $767 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, $2,652.

Part 1 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 O for the amounts.) No. Account Titles and Explanation Debit Credit 1. 2. 3. 4. 5. Part 2 Prepare an income statement for 2020. (Enter loss using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) DANIEL CONSULTING ENGINEER Income Statement December 31, 2020 $ Part 3 Prepare a retained earnings statement for 2020. Daniel paid a $18,200 cash dividend during the year. (recorded in Retained Earnings.) (List items that increase owner's capital first.) DANIEL CONSULTING ENGINEER Statement of Retained Earnings > Part 4 Prepare a classified balance sheet for 2020. (List current assets in the order of liquidity.) DANIEL CONSULTING ENGINEER Balance Sheet Assets $ $