Using the adjusted trial balance below, prepare an income statement, statement of retained earnings, and a balance sheet as of December 31. Download the Excel spreadsheet located in the instructions and use it as a template for your financial statements. Once you have completed the statements, save the file and upload the completed spreadsheet for grading.

Parties Plus, Inc.

Adjusted Trial Balance

December 31

	Debit	Credit
Cash	$1,600
Accounts receivable	4,000
Office equipment	16,800
Accumulated depreciation		$1,600
Income tax payable		2,800
Capital stock		5,000
Retained earnings		7,420
Dividends	500
Service fees earned		21,920
Wages expense	10,500
Supplies expense	1,120
Depreciation expense	960
Income tax expense	2,800
	$38,740	$38,740