1. (Multiple- and Single-step Income, Retained Earnings) The following account balances were included in the trial balance of J.R. Reid Corporation at June 30, 2004. The Retained Earnings account had a balance of $337,000 at June 30, 2004, before closing. There are 80,000 shares of common stock outstanding.
(a) Using the multiple-step form, prepare an income statement and a retained earnings statement for the year ended June 30, 2004.
(b) Using the single-step form, prepare an income statement and a retained earnings statement for the year ended June 30,2004.
