2. SANTANA INDUSTRIES Income Statement For the Year Ended December 31, 2024 ($ in thousands) Sales revenue Service revenue Total revenue Operating expenses: Cost of goods sold Selling expense $ 14,850 4,000 $ 18,850 7,500 2,700 General and administrative expense 1,800 Total operating expenses 12,000 Operating income 6,850 Interest expense 180 6,670 1,900 $ 4,770 Income before income taxes Income tax expense Net income Balance Sheet Information ($ in thousands) December 31, 2024 December 31, 2023 Assets: Cash Accounts receivable Inventory Prepaid rent $ 8,600 $ 2,470 3,100 2,500 4,600 3,300 180 360 15,100 12,600 Equipment Less: Accumulated depreciation Total assets Liabilities and Shareholders' Equity: Accounts payable Interest payable Deferred revenue Income taxes payable Notes payable (due 12/31/2026) Common stock Retained earnings (5,400) (4,800) $ 26,180 $ 16,430 $ 2,000 130 $ 1,400 0 860 630 580 860 5,600 0 10,300 10,300 6,710 3,240 Total liabilities and shareholders' equity $26,180 $ 16,430