Presented below are the November 1996 transactions that affected the retained earnings account of the Michael Bolton Corp.

In reviewing the account, Mr. Bolton realized that his new bookkeeper had made the following error:
Transaction (27) was actually a payment for wage expense.
\section*{Instructions}

(a) Prepare an income statement for the month of November.

(b) Prepare a retained earnings statement for November, assuming that the beginning retained earnings balance was \(\$ 9,500\) on November 1.

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Transaction (7) Amount $ 700 (9) 6,000 (10) 350 (13) 4,000 (16) 300 (18) 1,250 (19) 450 (22) 2,000 (23) 800 (25) 600 (27) 400 (31) 9,000 (32) 1,800 (33) 4,000 (34) 500 Description Property tax expense Service revenue Supplies expense Wage expense Utilities expense Rent expense Advertising expense Service revenue Dividends Repair expense Auto expense Service revenue Dividends Wage expense Utilities expense