ACC 1810 PREREOUISITE PROBLEM Problem 1: The adjusted trial balance of Debit Company is shown below: Prepare Debit Company's Income Statement and Statement of Retained Earnings for the year ended December 31, 2022 Problem 2. Refer to the data in Problem 1 above. A. Prepare the company's Classified Balance Sheet at the end of the year. B. Compute the company's current ratio and debt ratio at the end of the year. C. Assume the current ratio. and debt ratio from the previous year was 2.50 and 40 respectively. Did the ratios improve or deteriorate from last year? Problem 3. Refer to the data in Problems 1 and 2. Journalize the crosing entries at the end of the year. Set up a T-account for Retained Earnings and post to that account: Does the T-account balance agree with the Retained Earnings balance in the balance sheet