2016	2017	2018
Net Income	$1,200	($500)	$2,300
Net Cash Flows	$500	$300	$2,800
Dividends	$200	$0	$200
Issuance of Stock	$2,000	$0	$0

131) The above amounts represent totals from the first three years of operations. Calculate the balance of Retained Earnings at the end of 2018.

A) $3,500 B) $4,600 C) $2,600 D) $3,100

132. A bond issue with a face amount of $500,000 bears interest at the rate of 7%. The current market rate of interest is 8%. These bonds will sell at a price that is:
     1. The answer cannot be determined from the information provided.
     2. More than $500,000.
     3. Less than $500,000.
     4. Equal to $500,000.

133. Treasury Stock:
     1. Decreases stockholders' equity. B) Is recorded as an investment.

C) Increases stockholders' equity. D) Has a normal credit balance.

134. On September 1, 2018, ABC signed a $100,000, 9%, six-month note payable with the amount borrowed plus accrued interest due six months later on March 1, 2019. ABC should report interest payable at December 31, 2018, in the amount of:

A) $0. B) $1,500. C) $4,500. D) $3,000.

Net sales	$296,000
Cost of goods sold	138,000
Average inventory	50,000

135) What is the average days in inventory (round to the nearest whole day)?

1. 170 days. B) 132 days. C) 151 days. D) 114 days.