The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance December 31 Account Title Cash Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated depreciation-Buildings Accounts payable Notes payable (due in 3 years) Common stock Retained earnings Dividends Consulting revenue Wages expense Depreciation expense-Buildings Insurance expense Totals Debit Credit $ 31,000 1,800 6,600 85,000 $ 25,000 9,000 9,500 19,000 11,000 7,500 74,500 4,800 8,500 2,800 $ 148,000 $ 148,000 QS 3-30 (Algo) Preparing an income statement & statement of retained earnings LO C2 (1) Prepare an Income statement for the year ended December 31. (2) Prepare a statement of retained earnings for the year ended December 31. The Retained earnings account balance was $11,000 on December 31 of the prior year.