Problem 4-5A Preparing trial balances, closing entries, and financial statements LO C3, P2, P3

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	$	45,000
124	Office supplies		1,900
128	Prepaid insurance		2,800
167	Equipment		59,000
168	Accumulated depreciationEquipment					$	5,900
201	Accounts payable						12,000
210	Wages payable						700
301	C. Karise, Capital						33,000
302	C. Karise, Withdrawals		16,000
401	Repair fees earned						139,300
612	Depreciation expenseEquipment		5,900
623	Wages expense		35,000
637	Insurance expense		1,400
640	Rent expense		15,000
650	Office supplies expense		4,400
690	Utilities expense		4,500
	Totals	$	190,900			$	190,900

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.