Using the information from Problem 4-2A, prepare an income statement and a statement of changes in equity for the year ended December 31, 2023, and a classified balance sheet at December 31, 2023. There were no investments by the owner during the year.

Data From Problem 4-2A

MY Autobody’s adjusted trial balance on December 31, 2023, appears in the work sheet as follows:

Analysis Component:
MY Autobody experienced a loss during 2023. If you were one of the business’s creditors, should this loss cause you to be concerned about being paid in 2024?

No. 101 Cash 124 Shop supplies 128 Prepaid insurance Account 167 Equipment 168 Accumulated depreciation, equipment 201 Accounts payable 210 Wages payable 301 Mike Yang, capital 302 Mike Yang, withdrawals 401 Repair revenue 612 Depreciation expense, equipment 623 Wages expense 637 Insurance expense 640 Rent expense 650 Office supplies expense 690 Utilities expense Totals Debit Credit $ 28,000 1,800 4,200 88,000 36,000 $ 7,500 19,000 8,860 140,000 157,630 8,500 104,500 1,900 52,350 4,800 2,940 $332,990 $332,990