11 (SCF Method) condensed financial data of Fairchild Company for 2010 and 2009 are resented below. FAIRCHILD COMPANY COMPARATIVE BALANCE SHEET As OF DECEMBER 31, 2010 AND 2009 2011 2010 $1,800 Receivables $1,100 1,750 Inventory 1,600 Plant assets Accumulated depreciation 1,700 Long-term investments (Held-to-maturity) 200) (1,170) 1,300 1,470 $7,150 Accounts payable $1,200 800 Accrued liabilities 200 Bonds payable 1,400 1,650 Capital stock 1,900 1,700 Retained earnings 2,450 1,900 $7,150 $6,300 FAIRCHILD COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2010 $6900 Sales Cost of goods sold 4,700 Gross margin 2,200 Selling and administrative expense 930 1,270 Income from operations Other revenues and gains Gain on sale of investments 80 1,350 Income before tax 540 Income tax expense 810 Net income