The following information relates to DEF Corporation as of June 30, 2024:

• Cash: $40,000
• Accounts Receivable: $25,000
• Inventory: $50,000
• Equipment: $150,000
• Accumulated Depreciation: $30,000
• Accounts Payable: $20,000
• Notes Payable: $40,000
• Common Stock: $100,000
• Retained Earnings: $35,000
• Sales Revenue: $200,000
• Cost of Goods Sold: $120,000
• Salaries Expense: $40,000
• Rent Expense: $20,000
• Utilities Expense: $10,000
• Insurance Expense: $5,000
• Dividends: $15,000

Requirements:

1. Prepare the trial balance for DEF Corporation.
2. Prepare the income statement for the quarter ended June 30, 2024.
3. Prepare the statement of retained earnings for the quarter ended June 30, 2024.
4. Prepare the balance sheet as of June 30, 2024.
5. Identify any discrepancies and explain how they should be rectified.