E3-11B (Prepare Financial Statements)

E3-11B (Prepare Financial Statements) The adjusted trial balance of Decimal Co. as of December 31,
2014, contains the following.
DECIMAL CO.
ADJUSTED TRIAL BALANCE
DECEMBER 31, 2014
Account Titles Dr. Cr.
Cash $ 6,590
Accounts Receivable 15,618
Prepaid Rent 1,200
Equipment 31,800
Accumulated Depreciation—Equipment $ 9,680
Notes Payable 12,500
Accounts Payable 11,601
Common Stock 20,000
Retained Earnings 3,619
Dividends 6,000
Service Revenue 27,600
Salaries and Wages Expense 15,600
Rent Expense 7,800
Depreciation Expense 392
Interest Expense 211
Interest Payable 211
$85,211 $85,211

Instructions
(a) Prepare an income statement.
(b) Prepare a statement of retained earnings.
(c) Prepare a classified balance sheet.