Denises Cleaning Services has been operating for 5 years. At December 31 of last year, the accounting records reflected the following:

Assets	Amount	Liabilities & Equity	Amount
Cash	$ 23,000	Accounts Payable	$ 20,000
Marketable Securities	2,000	Notes Payable (Short-Term)	8,000
Accounts Receivable	5,000	Long Term Notes Payable	47,000
Equipment	50,000	Common Stock	10,000
Factory	90,000	Additional Paid in Capital	60,000
Intangibles	5,000	Retained Earnings	30,000
Total Assets	$175,000	Total Liabilities & Equity	$175,000

During the current year, the company had the following summarized activities:

1. Purchased furniture for $13,000 cash.
2. Purchase supplies on account for $3,000.
3. Purchased equipment that cost a total of $29,000; paid $5,000 cash and signed a one-year note for the balance.
4. Hired a new president at the end of the year. The contract was for $60,000 per year plus options to purchase company stock at a set price based on company performance.
5. Issued additional shares of common stock for $5,000 cash and $15,000 in equipment.
6. Borrowed $48,000 cash as a two-year note payable from a local bank.
7. Purchased Land for $40,000 cash.
8. Performed Services for a customer and received $15,000 cash.
9. Built an addition to the factory for a total cost of $45,000; paid $9,000 in cash and signed a three-year note for the balance.
10. Performed services for a customer on account for $12,600.
11. Paid $5,200 on account.
12. Received $3,100 from a customer on account.
13. Paid expenses: Rent-$1,500 and Salaries-$4,000
14. Paid dividends $2,000.

Required

1. Create a journal entry for each transaction.
2. Prepare a trial balance as of December 31 of the current year.
3. Prepare an Income Statement of December 31 of the current year.
4. Prepare a Statement of Retained Earnings as of December 31, of the current year.

Assets	Amount	Liabilities & Equity	Amount
Cash	$ 23,000	Accounts Payable	$ 20,000
Marketable Securities	2,000	Notes Payable (Short-Term)	8,000
Accounts Receivable	5,000	Long Term Notes Payable	47,000
Equipment	50,000	Common Stock	10,000
Factory	90,000	Additional Paid in Capital	60,000
Intangibles	5,000	Retained Earnings	30,000
Total Assets	$175,000	Total Liabilities & Equity	$175,000