Based on the adjusted trial balance and additional information, prepare a balance sheet, income statement, statement of retained earnings, and statement of cash flows.

Additional Information

*Net income for year ending 12/31/2008 $10,845

*Changes from prior year's balances included:

-a decrease in ACcts Receivables of $300

-a decrease in inventory of $450

-an increase in accts payable of $250

-a decrease in accrued expenses of $100

*Land was purchased in April for $3,500

*Cash as of January 1, 2008 was $10,105

Adjusted Trial Balance

Debit. Credit

Cash. $22,750

Accts Receivable. 3,200

Inventory. 8,000

Land. 27,000

Building. 56,000

Accumulated Depreciation. $16,800

Accts Payable. 4,600

Accrued Expenses. 2,500

Common Stock. 20,000

Additional Paid-In Capital. 10,000

Dividends. 1,200

Retained Earnings. 53,405

Sales. 112,020

Returns. 1,300

Purchases. 47,000

Salaries. 38,000

Supplies. 870

Utilities. 5,225

Telephone. 2,850

Bank Charges. 330

Depreciation Expense 5,600

$219,325. $219,325