The following information was drawn from the accounting records of Swanson Company as of December 31 2013 before the temporary accounts had been closed. The Cash balance was $3 350 and Notes Payable amounted to $22 900. The company had revenues of $3 640 and expenses of $2 130. The company’s Land account had a $6 000 balance. Dividends amounted to $700. There was $1 400 of common stock issued.Required:a.Identify which accounts would be classified as permanent and which accounts would be classified as temporary.Cash(Click to select)TemporaryPermanentNotes Payable(Click to select)TemporaryPermanentRevenue(Click to select)PermanentTemporaryExpenses(Click to select)PermanentTemporaryLand(Click to select)TemporaryPermanentDividends(Click to select)PermanentTemporaryCommon Stock(Click to select)TemporaryPermanentRetained Earnings(Click to select)PermanentTemporaryb.Assuming that Swanson’s beginning balance (as of January 1 2013) in the Retained Earnings account was $3 300 determine its balance after the temporary accounts were closed at the end of 2013.Ending Retained Earnings$c.What amount of net income would Swanson Company report on its 2013 income statement?Net Income$
