The adjusted trial balance for Chiara Company as of December 31, 2013, follows.

Required
1. Use the information in the adjusted trial balance to prepare
(a) The income statement for the year ended December 31, 2013;
(b) The statement of owner’s equity for the year ended December 31, 2013; and
(c) The balance sheet as of December 31, 2013.
2. Calculate the profit margin for year2013.

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Debit Credit Cash . . .. Accounts receivable Interest receivable Notes receivable (due in 90 days) 30,000 52,000 8,000 68,000 16,000 68,000 Automobiles. Accumulated depreciation-Automobiles . . Equipment Accumulated depreciation-Equipment Land. Accounts payable Interest payable Salaries payable.... Unearned fees Long-term notes payable R. Chiara, Capital. . . . R. Chiara, Withdrawals... Fees earned $ 50,000 138,000 18,000 78,000 96,000 20,000 19,000 30,000 138,000 255,800 .. 46,000 484,000 24,000 Depreciation expense Automobiles. Depreciation expense-Equipment . . Salaries expense Wages expense Interest expense···· Office supplies expense Advertising expense . . .. Repairs expense Automobiles .. Totals... 26,000 18,000 88,000 40,000 32,000 34,000 58,000 24,800 .. ..$1,134,800 $1,134,800 ....-...