The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance December...

 

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The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance December 31 Account Title Cash Debit Credit Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated depreciation-Buildings Accounts payable Notes payable (due in 3 years) $ 7,000 600 4,200 25,000 $ 13,000 3,000 3,500 Common stock 7,000 Retained earnings 5,000 Dividends 1,500 Consulting revenue 14,500 Wages expense 3,600 Depreciation expense-Buildings 2,500 Insurance expense 1,600 Totals $ 46,000 $ 46,000 QS 3-30 (Algo) Preparing an income statement & statement of retained earnings LO C2 (1) Prepare an income statement for the year ended December 31. (2) Prepare a statement of retained earnings for the year ended December 31. The Retained earnings account balance was $5,000 on December 31 of the prior year. The following is the adjusted trial balance of Sierra Company. Sierra Company Adjusted Trial Balance December 31 Account Title Cash Debit Credit Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated depreciation-Buildings Accounts payable Notes payable (due in 3 years) $ 7,000 600 4,200 25,000 $ 13,000 3,000 3,500 Common stock 7,000 Retained earnings 5,000 Dividends 1,500 Consulting revenue 14,500 Wages expense 3,600 Depreciation expense-Buildings 2,500 Insurance expense 1,600 Totals $ 46,000 $ 46,000 QS 3-30 (Algo) Preparing an income statement & statement of retained earnings LO C2 (1) Prepare an income statement for the year ended December 31. (2) Prepare a statement of retained earnings for the year ended December 31. The Retained earnings account balance was $5,000 on December 31 of the prior year.