Use this information to prepare a multiple$-$step income statement, a retained earnings statement, and a classified balance sheet.

Horton Company has the following ledger accounts and adjusted balances as of December $31,2023.$ All accounts have normal balances. Horton's income tax rate is $20\%.$ Horton has $300,000$ shares of $$10$ par Common Stock authorized and $85,000$ shares of Common Stock outstanding.

$\backslash$table$[[$unts Payable.$],[$ccounts Receivable...$],[$ccumulated Depreciation$-$Building.$],[$Accumulated Depreciation$-$Equipment..$],[$Administrative Expenses..$],[$Allowance for Doubtful Accounts.$],[$s Payable.$],[$Building$..],[87,750],[$Common Stock..$],[$Cost of Goods Sold..$],[$Dividends$...],[]]$

$($Division Y is a component of Horton Company$)$

Interest Revenue............................................ $90,000$

Inventory......................................................................................................... $945,000$

Land $($held for future use$).......................................675,000$

Land $($used for building$)..................................371,250$

Loss from Sale of Division Y$.........................270,000$

$($Division Y is a component of Horton Company$)$

Loss on Sale of Land.............................................................................. $33,750$

Paid$-$In Capital in Excess of Par............................................. $594,000$

Premium on Bonds Payable...................... $15,000$

Retained Earnings, January $1,2023.............843,750$

Sales Returns and Allowances..............................$\mathrm{.}112,500$

Sales Revenue.............................................................................................. $4163,750$

Trademark................................................................................... $250$

$$50,000$ of the principal comes due in $2024.$

$**$Two years insurance paid in advance.