2018 IKIBAN INC. Comparative Balance Sheets June 30, 2019 and 2018 2019 Assets Cash $ 83,300 Accounts receivable, net 75,500 Inventory 70,800 Prepaid expenses 5,100 Total current assets 234,700 Equipment 131,000 Accum. depreciation-Equipment (30,500 Total assets $335,200 Liabilities and Equity Accounts payable $ 32,000 Wages payable 6,700 Income taxes payable 4,100 Total current liabilities 42,800 Notes payable (long term) 31,400 Total liabilities 74,200 Equity Common stock, $5 par value 234,000 Retained earnings 27,000 Total liabilities and equity $335,200 $ 51,000 58,000 97,000 6,800 212,800 122,000 (12,500) $322,300 $ 40,500 16,400 5, 200 62, 100 67,000 129, 100 167,000 26, 200 $322,300 IKIBAN INC. Income Statement For Year Ended June 30, 2019 Sales $713,000 Cost of goods sold 418,000 Gross profit 295,000 Operating expenses Depreciation expense $65,600 Other expenses 74,000 Total operating expenses 139,600 155,400 Other gains (losses) Gain on sale of equipment 2,700 Income before taxes 158, 100 Income taxes expense 44,590 Net income $113,510 Additional Information a. A $35,600 note payable is retired at its $35,600 carrying (book) value in exchange for cash. b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $64,600 cash. d. Received cash for the sale of equipment that had cost $55,600, yielding a $2,700 gain. e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. f. All purchases and sales of inventory are on credit. For Year Ended June 30, 2019 Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash balance at prior year-end