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Exercise 3-8 Preparing Financial Statements from a Trial Balance LO P6 Following are the accounts and balances (in random order) from the adjusted trial balance of Stark Company, Notes payable Prepaid insurance Interest expense Accounts payable Wages payable Cash Wages expense Insurance expense Common stock Retained earnings Services revenue $ 31,000 Accumulated depreciation Buildings $ 35,000 4,500 Accounts receivable 8.000 900 Utilities expense 3,300 11,500 Interest payable 900 2,400 Unearned revenue 1,800 50,000 Supplies expense 600 9,500 Buildings 240,000 3,800 Dividends 13,000 26,000 Depreciation expense-Buildings 12,000 118,800 Supplie's 1,800 120,000 Prepare the (1) Income statement and (2) statement of retained earnings for the year ended December 31 and (3) balance sheet at December 31. The Retained Earnings account balance was $118,800 on December 31 of the prior year. Answer is not complete. Complete this question by entering your answers in the tabs below. Income Statement Statement of Retained Earnings Balance Sheet >> Total expenses Net income 30.100 89,900 Prepare the (1) Income statement and (2) statement of retained earnings for the year ended December 31 and (3) balance sheet at December 31. The Retained Earnings account balance was $118,800 on December 31 of the prior year. Answer is not complete. Complete this question by entering your answers in the tabs below. Income Statenent of Retbined Statement Balance Sheet Earnings Prepare the statement of retained earnings for the year ended December 31. The Retained Earnings account balance was $118,800 on December 31 of the prior year. STARK COMPANY Statement of Retained Earnings For Year Ended December 31 Retained earnings, Dec. 31 prior year end 118,800 Add: Not income 89.900 208,700 Less: Dividonds 13,000 Retained earnings, Dec 31 current your $ 195,700 $ ond Prepare the balance sheet at December 31. STARK COMPANY Balance Sheet December 31 Assets $ 50,000 8,000 1,800 4,500 240,000 Cash Accounts receivable Supplies Prepaid insurance Buildings Accumulated depreciation-Buildings Total assets Liabilities Accounts payable Wages payable Interest payable Unearned revenue Notes payable 240,000 $ 304,300 11,500 2,400 900 1,800 31,000 Total liabilities 47,600 Equity Common stock Retained earnings 26,000 118,800 X 240,000 $ 304,300 Accumulated depreciation-Buildings Total assets Liabilities Accounts payable Wages payable Interest payable Unearned revenue Notes payable 11,500 2,400 900 1,800 31,000 Total liabilities 47,600 Equity Common stock Retained earnings 26,000 118,800 x + Total equity Total liabilities and equity 144,800 $ 192,400