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Problem - The following list is a partial list of account balances for the RedBird Company as at December 31, 20x4:
Accounts payable 11,500
Accounts receivable 27,860
Bank loan, due December 31, 20x8 60,000
Cash 36,980
Common stock 50,000
Cost of goods sold 151,200
Depreciation expense 8,640
Dividends declared 4,000
Interest expense 6,480
Income tax expense 7,380
Insurance expense 4,140
Inventory 80,540
Income taxes payable 2,450
Office equipment 43,200
Office supplies 6,500
Office supplies expense 15,800
Prepaid insurance 1,440
Rent expense 38,340
Salary expense 32,400
Salaries payable 2,680
Sales 283,680
Required - Prepare a Statement of Income in good form.
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