The December 31, 2024, adjusted trial balance for the Blueboy Cheese Corporation is presented below.

Required:
1. Prepare an income statement for the year ended December 31, 2024, and a classified balance sheet as of December 31, 2024.
2. Prepare the necessary closing entries on December 31, 2024.

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Account Title Cash Accounts receivable Prepaid rent Inventory Office equipment Accumulated depreciation Accounts payable Notes payable (due in six months) Salaries payable Interest payable Common stock Retained earnings Sales revenue Cost of goods sold Salaries expense Rent expense Depreciation expense Interest expense Advertising expense Totals $ Debits 21,000 300,000 10,000 50,000 600,000 480,000 120,000 30,000 60,000 4,000 5,000 $1,680,000 Credits $ 250,000 60,000 60,000 8,000 2,000 400,000 100,000 800,000 $1,680,000