Problem 4-5A Preparing trial balances, closing entries, and financial statements LO C3, P2, P3 1.300 The adjusted trial balance of Karise Repairs on December 31, 2017, follows. KARISE REPAIRS Adjusted Trial Balance December 31, 2017 No. Account Title Debit Credit 101 Cash $ 34,000 124 Office supplies 128 Prepaid insurance 2,800 167 Equipment 54,000 168 Accumulated depreciation Equipment $ 5,400 201 Accounts payable 13,000 210 Wages payable 1,000 301 C. Karise, Capital 30,000 302 C. Karise, Withdrawals 16,500 401 Repair fees earned 124,500 612 Depreciation expense-Equipment 5,400 623 Wages expense 36,000 637 Insurance expense 700 640 Rent expense 16,500 650 Office supplies expense 3,800 690 Utilities expense 2,900 Totals $173,900 $173,900 Assume there are no owner investments in 2017. Required: 1a. Prepare an income statement for the year 2017. 1b. Prepare a statement of owner's equity for the year 2017. 1c. Prepare a classified balance sheet at December 31, 2017. 2. Complete the work sheet using the adjusted trial balance in the first two columns of a six-column table. Use columns three and four for closing entry information and the last two columns for a post-closing trial balance. 3. Using information from the work sheet in Requirement 2, prepare the appropriate closing entries. Required 1A Required 1B Required 10 Required 2 Required Prepare an income statement for the year 2017. KARISE REPAIRS Income Statement For Year Ended December 31, 2017 Revenues: Expenses: Total expenses $ 0 Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 10 Required 2 Required 3 Prepare a statement of owner's equity for the year 2017. KARISE REPAIRS Statement of Owner's Equity For Year Ended December 31, 2017 C. Karise, Capital, Jan. 1, 2017 0 C. Karise, Capital, Dec. 31, 2017 $ 0 KARISE REPAIRS Balance Sheet December 31, 2017 $ 0 0 0 Required 1A Required 1B Required 1C Required 2 Required 3 Complete the work sheet using the adjusted trial balance in the first two columns of a six-column table. Use columns three and four for closing information and the last two columns for a post-closing trial balance. ...................................................... KARISE REPAIRS Partial Work Sheet For Year Ended December 31, 2017 Adjusted Closing Trial Balance Entry Information Post-Closing Trial Balance Dr. Cr. Dr. Cr. Dr. Cr. $ 34,000 1,300 2,800 54,000 $ 5,400 13,000 1,000 30,000 No. Account Title 101 Cash 124 Office supplies 128 Prepaid insurance 167 Equipment 168 Accumulated depreciation Equipment 201 Accounts payable 210 Wages payable 301 C. Karise, Capital 302 C. Karise, Withdrawals 401 Repair fees earned 612 Depreciation expense-Equipment 623 Wages expense 637 Insurance expense 640 Rent expense 650 Office supplies expense 690 Utilities expense 901 Income summary 16,500 124,500 5,400 36,000 700 16,500 3,800 2,900 Total $ 173,900 $ 173,900 $ 0 $ 0 $ 0 $ 0 Required 1A Required 1B Required 1C Required 2 Required 3 Using information from the work sheet in Requirement 2, prepare the appropriate closing entries. View transaction list Journal entry worksheet Record the entry to close revenue account(s). Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal Journal entry worksheet Record the entry to close expense account(s). Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal Journal entry worksheet Record the entry to close income summary. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal Journal entry worksheet Record the entry to close the withdrawals account. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general journal