Finders Investigative Services is an investigative services firm that is owned and operated by Stacy Tanner. On June 30, 2016, the end of the fiscal year, the accountant for Finders Investigative Services prepared an end-of-period spreadsheet, a part of which follows:

Instructions
1. Prepare an income statement, a retained earnings statement, and a balance sheet.
2. Journalize the entries that were required to close the accounts at June 30.
3. If Retained Earnings has instead decreased $30,000 after the closing entries were posted, and the dividends remained the same, what would have been the amount of net income or net loss?

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Finders Investigative Services End-of-Period Spreadsheet For the Year Ended June 30, 2016 2 4 6 Adjusted Trial Balance Account Title Dr. Cr. 8 Cash 28,000 69,600 9 Accounts Receivable 10 Supplies 11Prepaid Insurance 12 Building 13 Accumulated Depreciation-Building 14 Accounts Payable 15 Salaies Payable 16 Uneamed Rent 17 Common Stock 18 Retained Eamings 19 Dividends 20 Service Fees 21 Rent Revenue 22 Salaries Expense 23 Rent Expense 24 Supplies Expense 25 Depreciation Expense Building8,750 26 Utilities Expense 27 Repairs Expense 28 Insurance Expense 29 Miscellaneous Expense 30 4,600 2,500 439,500 44,200 11,700 3,000 2,000 80,000 293,800 12,000 718,000 12,000 522,100 48,000 10,800 7.150 3,000 2.500 6,200 1,164,700 1,164,700