Reference no: EM132863607

Problem - The following adjusted year-end trial balance at December 31 of Wilson Trucking Company.

Account Title Debit Credit

Cash $7,700 Accounts receivable 16,500 Office supplies 2,000 Trucks 170,000 Accumulated depreciation-Trucks $35,020 Land 75,000 Accounts payable 11,700 Interest payable 3,000 Long-term notes payable 52,000 Common stock 32,338 Retained earnings 139,500 Dividends 19,000 Trucking fees earned 114,000 Depreciation expense-Trucks 22,588 Salaries expense 53,466 Office supplies expense 11,500 Repairs expense-Trucks 9,804 Totals$387,558 $387,558

The Retained Earnings account balance was $139,500 at December 31 of the prior year.

Required -

(1) Prepare the income statement for the year ended December 31.

(2) Prepare the statement of retained earnings for the year ended December 31.