These financial statement items are for Norsted Company at year-end, July 31, 2015.

A. Prepare an income statement and a retained earnings statement for the year.

B. Prepare a classified balance sheet at July 31.

Norsted Company

Income Statement

For The Year Ended July 31, 2015

Revenues:

Expenses:

Norsted Company

Retained Earnings Statement

For the Year Ended July 31, 2015

Salaries and wages payable	$2,080	Notes payable (long-term)	$1,800
Salaries and wages expense	51,700	Cash	14,200
Utilities expense	22,600	Accounts receivable	9,780
Equipment	30,400	Accumulated depreciationequipment	6,000
Accounts payable	4,100	Dividends	3,000
Service revenue	62,000	Depreciation expense	4,000
Rent revenue	8,500	Retained earnings (beginning of the year)	21,200
Common stock	30,000