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The adjusted trial balance for Tybalt Construction as of December 31, 2013, follows.

TYBALT CONSTRUCTION Adjusted Trial Balance December 31, 2013
No.	Account Title	Debit				Credit
101	Cash		$	5,000
104	Short-term investments			23,000
126	Supplies			8,100
128	Prepaid insurance			7,000
167	Equipment			40,000
168	Accumulated depreciationEquipment						$	20,000
173	Building			150,000
174	Accumulated depreciationBuilding							50,000
183	Land			55,000
201	Accounts payable							16,500
203	Interest payable							2,500
208	Rent payable							3,500
210	Wages payable							2,500
213	Property taxes payable							900
233	Unearned professional fees							7,500
251	Long-term notes payable							67,000
307	Common stock							5,000
318	Retained earnings							121,400
319	Dividends			13,000
401	Professional fees earned							97,000
406	Rent earned							14,000
407	Dividends earned							2,000
409	Interest earned							2,100
606	Depreciation expenseBuilding			11,000
612	Depreciation expenseEquipment			6,000
623	Wages expense			32,000
633	Interest expense			5,100
637	Insurance expense			10,000
640	Rent expense			13,400
652	Supplies expense			7,400
682	Postage expense			4,200
683	Property taxes expense			5,000
684	Repairs expense			8,900
688	Telephone expense			3,200
690	Utilities expense			4,600
	Totals		$	411,900			$	411,900

O. Tybalt invested $5,000 cash in the business in exchange for more common stock during year 2013 (the December 31, 2012, credit balance of retained earnings was $121,400). Tybalt Construction is required to make a $7,000 payment on its long-term notes payable during 2014.

Required:
1.1	Prepare the income statement for the calendar year 2013. 1.2 Prepare the statement of retained earnings for the calendar year 2013. 1.3 Prepare the classified balance sheet at December 31, 2013. 2. Prepare the necessary closing entries at December 31, 2013. Closing entries (all dated December 31, 2013): 3. Use the information in the financial statements to compute the following ratios:

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