These items are taken from the financial statements of Mbong Corporation for the year ended December 31, 2015:

Additional information:
1. Mbong started the year with $30,000 of common shares and issued $4,200 more during the year.
2. $1,500 of the bank loan payable is due to be repaid within the next year.
Instructions
(a) Prepare an income statement, statement of changes in equity, and statement of financial position for the year.
(b) Explain how each financial statement is related to the others.

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Retained earnings, Jan. 1 Utilities expense $105,000 Depreciation expense Accounts receivable 6,200 2 able Accumulated depreciation-equipmen 17,600 Income tax expense Salaries payable Dividends Service revenue Prepaid insurance Repair and maintenance expense Supplies expense Bank loan payable, due 2018 Trading investments Accumulated depreciation-buildings18,000 Interest expense Interest revenue