8 (2)

Required information [The following information applies to the questions displayed below] The following financial statements and additional information are reported. Additional Information a. A$30,000 note payable is retired at its $30,000 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 $78,600cash. d. Recelved cash for the sale of equipment that had cost $69,600, yleiding a $4,100 gain. e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement. f. All purchases and sales of inventory are on credit. Required