Required information M4-14 through M4-17 (Static) Reporting an Income Statement, Reporting a Statement of Retained Earnings, Reporting a Balance Sheet and Recording Closing Journal Entries (LO 4-4, LO 4-5] [The following information applies to the questions displayed below.] The Sky Blue Corporation has the following adjusted trial balance at December 31. Notes Receivable (long-term) Cash Accounts Receivable Prepaid Insurance Equipment Accumulated Depreciation Accounts Payable Salaries and Wages Payable Income Taxes Payable Deferred Revenue Common Stock Retained Earnings Dividends Sales Revenue Rent Revenue Salaries and Wages Expense Depreciation Expense Utilities Expense Insurance Expense Rent Expense Income Tax Expense Total Debit $ 1,230 Credit 2,000 2,300 3,000 12,000 $ 2,600 5,420 1,000 2,900 600 2,400 1,000 300 42,030 300 21,600 1,300 4,220 1,400 6,000 2,900 $ 58,250 $ 58,250 M4-14 (Static) Required: 1. Prepare an income statement for the year ended December 31. 2. How much net income did the Sky Blue Corporation generate during the year? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare an income statement for the year ended December 31. SKY BLUE CORPORATION Income Statement M4-14 (Static) Required: 1. Prepare an income statement for the year ended December 31. 2. How much net income did the Sky Blue Corporation generate during the year? Complete this question by entering your answers in the tabs below. Required 1 Required 2 How much net income did the Sky Blue Corporation generate during the year? Net Income M4-15 (Static) Required: Prepare a statement of retained earnings for the year. SKY BLUE CORPORATION Statement of Retained Earnings Balance, January 1 Balance, December 31 $ 0 M4-16 (Static) Required: 1. Prepare a classified balance sheet at December 31. 2. Are the Sky Blue Corporation's assets financed primarily by debt or equity? Required 1 Required 2 Prepare a classified balance sheet at December 31. (Amounts to be deducted should be indicated by a minus sign.) SKY BLUE CORPORATION Balance Sheet 0 M4-16 (Static) Required: 1. Prepare a classified balance sheet at December 31. 2. Are the Sky Blue Corporation's assets financed primarily by debt or equity? Required 1 Required 2 Are the Sky Blue Corporation's assets financed primarily by debt or equity? Debt Equity M4-17 (Static) Required: Prepare closing journal entries on December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet < 1 Record the closing entry for revenues and expenses. Note: Enter debits before credits. Date December 31 General Journal Debit Credit M4-17 (Static) Required: Prepare closing journal entries on December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 2 Record the closing entry for dividends. Note: Enter debits before credits. Date December 31 General Journal Debit Credit