The account balances of Wilford Towing Service at June 30, 2016, follow

Equipment...........$ 17,500

Office Supplies ........... 1,300

Notes Payable........... 6,900

Rent Expense........... 800

Cash............... 1,900

Dividends........... 2,000

Service Revenue.......$ 13,000

Accounts Receivable....... 8,200

Accounts Payable....... 6,000

Retained Earnings, June 1, 2016 ... 3,700

Salaries Expense....... 1,900

Common Stock....... 4,000

Requirements

1. Prepare the income statement for Wilford Towing Service for the month ending June 30, 2016.

2. What does the income statement report?