These financial statement items are for Rugen Company at year-end, July 31, 2020.

Salaries and wages payable $ 2,980 Notes payable (long-term) $ 3,000

Salaries and wages expense 45,700 Cash 5,200

Utilities expense 21,100 Accounts receivable 9,780

Equipment 38,000 Accumulated depreciation 6,000

Accounts payable 4,100 Owner's Drawings 4,000

Service revenue 57,200 Depreciation expense 4,000

Rent revenue 6,500 Owner's capital (beginning 48,000

of the year)

Instructions

(a) Prepare an income statement and an owner's equity statement for the year. The owner did not make any new investments during the year.

(b) Prepare a classified balance sheet at July 31.