Below Is the Adjusted Trial Balance for Parsons Repair Service

question 18

Essay

Below is the adjusted trial balance for Parsons Repair Service. Please prepare the income statement for the year ended December 31, 2012.

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Definitions:

Income Statement

A financial statement that shows a company's financial performance over a specific period, detailing revenues, expenses, and net income.

Retained Earnings

Retained earnings are the portion of a company's profits that is kept or retained rather than being paid out as dividends to shareholders, often reinvested in the business or used to pay off debt.

Notes Payable

A financial liability representing a written promise to pay a specific sum of money on a specified future date.