Problem 4-5A (Algo) Preparing financial statements and closing entries LO C1, P2 The adjusted trial balance of Karise Repairs on December 31 follows. Adjusted Trial Balance KARISE REPAIRS December 31 Prepaid insurance Equipment Accumulated depreciation-Equipment Accounts payable Wages payable Number Account Title 101 Cash 124 office supplies 128 167 168 201 210 301 302 403 612 623 637 640 Rent expense 650 690 C. Karise, Capital C. Karise, Withdrawals Services revenue. Depreciation expense-Equipment Wages expense Insurance expense office supplies expense Utilities expense Totals Debit Credit $ 122,000 1,800 2,650 52,000 $ 5,200 15,500 1,400 36,000 16,000 208,050 5,200 43,000 1,300 15,500 4,200 2,500 $ 266,150 $ 266,150 Note: C. Karise, Capital account balance was $36,000 on December 31 of the prior year, and there were no c the year. Required: 1a. Prepare an income statement for the year. 1b. Prepare a statement of owner's equity for the year. 1c. Prepare a classified balance sheet at December 31. 2. Prepare the December 31 closing entries. Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 1C Required 2 Prepare an income statement for the year.