The accounts of Cascade Consulting, Inc. follow with their normal balances at December 31, 2013. The accounts are listed in no particular order.

AccountBalance

Common Shares ....$ 65,000

Insurance Expense . 1,700

Accounts Payable. 3,700

Service Revenue . 83,000

Land ....... 24,000

Supplies Expense. 2,800

Cash ....... 8,300

Salary Expense .... 51,000

Building .... 110,000

Rent Expense.... 12,800

Dividends .... 13,500

Utilities Expense .... 6,400

Retained Earnings .... 9,700

Accounts Receivable ... 6,500

Notes Payable .... 76,000

Supplies ........ 400

Requirements

1. Prepare the company’s trial balance at December 31, 2013, listing accounts in the proper order. List the largest expense first, the second-largest expense next, and so on.

2. Prepare the financial statements: income statement, statement of changes in equity, and statement of financial position. The retained earnings balance of $9,700 is the beginning balance for the year; it has not been updated for the current year’s income or loss.

3. Was it a profitable year for Cascade Consulting, Inc.? Why or why not?