Using the information from Problem 4-4A, prepare an income statement and a statement of changes in equity for the year ended December 31, 2020, and a classified balance sheet at December 31, 2020. There were no investments by the owner during the year.

Analysis Component: MY Autobody experienced a loss during 2020. If you were one of the business?s creditors, should this loss cause you to be concerned about being paid in 2021?

Problem 4-4A

MY Autobody?s adjusted trial balance on December 31, 2020, appears in the work sheet as follows:

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