Answer:
a. Income Statement for the month of October 2022
<u>Revenue:</u>
Service revenue $19,540
<u>Expenses:</u>
Salaries and Wages $2,800
Supplies Expenses $360
Depreciation Expenses $260
Interest Expenses <u>$350 </u>
Total Expenses <u>$3,770</u>
Net Income <u>$15,770</u>
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b. Retained earnings statement for the month of October 2022
Retained Earnings, October 1, 2020 $0
Add: Net Income <u>$15,770 </u>
Retained Earnings, October 31, 2020 <u>$15,770</u>