A-5 The following is the adjusted trial balance of Sierra Company.Account TitleCashPrepaid insuranceNotes receivable (due in 5 years)BuildingsAccumulated depreciation-BuildingsAccounts payableSierra CompanyAdjusted Trial BalanceDecember 31Notes payable (due in 3 years)Common stockRetained earningsDividendsConsulting revenueWages expenseDepreciation expense-BuildingsInsurance expenseTotalsRequired 1 Required 2Debit$ 21,0001,3005,60060,000SIERRA COMPANYIncome Statement5,000PADAVOLAINKAMONINI4,3006,0002,300$ 105,500QS 3-30 (Algo) Preparing an income statement & statement of retained earnings LO C2Prepare an income statement for the year ended December 31.-Complete this question by entering your answers in the tabs below.PEL24 25 DE NCredit$ 20,0006,5007,00014,0008,50049,500(1) Prepare an Income statement for the year ended December 31.(2) Prepare a statement of retained earnings for the year ended December 31. The Retained earnings account balance was $8December 31 of the prior year.Nudbing (kapumidi$ 105,500ENIGMARMITEN ALOONEFSANEmaSEENESENATA PAINOMainon HAMIMOUSISaved302R 20 20emberedC

Income statement is a financial statement that shows profitability, total revenue and total…

The following is the adjusted trial balance of Sierra Company. Account Title Cash Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated depreciation-Buildings Accounts payable Notes payable (due in 3 years) Common stock Retained earnings Dividends Consulting revenue Wages expense Sierra Company Adjusted Trial Balance December 31 Depreciation expense-Buildings Insurance expense Totals Debit $ 21,000 1,300 5,600 60,000 5,000 4,300 6,000 2,300 $ 105,500 Required 1 Required 2 Credit $ 20,000 6,500 7,000 14,000 8,500 49,500 QS 3-30 (Algo) Preparing an income statement & statement of retained earnings LO C2 Prepare an income statement for the year ended December 31. SIERRA COMPANY Income Statement $ 105,500 (1) Prepare an Income statement for the year ended December 31. (2) Prepare a statement of retained earnings for the year ended December 31. The Retained earnings account balance w December 31 of the prior year. Complete this question by entering your answers in the tabs below.