Financial Statements and Closing Entries

The Gorman Group is a financial planning services firm owned andoperated by Nicole Gorman. As of October 31, 2018, the end of thefiscal year, the accountant for The Gorman Group prepared anend-of-period spreadsheet, part of which follows:

The Gorman Group End-of-Period Spreadsheet For the Year Ended October 31, 2018
	Adjusted Trial Balance
Account Title	Dr.	Cr.
Cash	$11,200
Accounts Receivable	24,380
Supplies	3,810
Prepaid Insurance	8,230
Land	87,000
Buildings	312,000
Accumulated Depreciation-Buildings		101,500
Equipment	225,000
Accumulated Depreciation-Equipment		132,200
Accounts Payable		28,840
Salaries Payable		2,860
Unearned Rent		1,300
Common Stock		130,000
Retained Earnings		240,660
Dividends	21,600
Service Fees		411,290
Rent Revenue		4,340
Salaries Expense	294,860
Depreciation Expense-Equipment	16,000
Rent Expense	13,400
Supplies Expense	9,490
Utilities Expense	8,570
Depreciation Expense-Buildings	5,720
Repairs Expense	4,720
Insurance Expense	2,590
Miscellaneous Expense	4,420
	1,052,990	1,052,990

Required:

1. Prepare an income statement.

The Gorman Group Income Statement For the Year Ended October 31, 2018
Revenues:
Total Revenues
Expenses:
Total Expenses
Net income

Prepare a Retained Earnings Statement.

The Gorman Group Retained Earnings Statement For the Year Ended October 31, 2018

Prepare a balance sheet.

The Gorman Group Balance Sheet October 31, 2018
Assets				Liabilities
Current assets:				Current liabilities:
				Total liabilities
Total current assets
Property, plant, and equipment:				Stockholders' Equity
Total property, plant, and equipment				Total stockholders' equity
Total assets				Total liabilities and stockholders' equity

2. Journalize the entries that were required toclose the accounts at October 31. For a compound transaction, if abox does not require an entry, leave it blank.

Date	Account	Debit	Credit
2018
Oct. 31 Close revenues
Oct. 31 Close expenses
Oct. 31 Close income/loss
Oct. 31 Close dividends

3. If Retained Earnings had instead decreased$30,300 after the closing entries were posted, and the dividendsremained the same, what would have been the amount of net income ornet loss? Enter all amounts as positive numbers.
$