Assignment Specifications Assessment tasks: Question 1 Aggressive Corporation approaches Matt Taylor, a loan officer for Oklahoma State Bank, seeking to increase the company's borrowings with the bank from $100,000 to $150,000. Matt has an uneasy feeling as he examines the loan application from Aggressive Corporation, which just completed its first year of operations. The application included the following financial statements. AGGRESSIVE CORPORATION Income Statement For the year ended December 31, 2018 Net sales $200,000 Expenses: Cost of goods sold $110,000 Operating expenses 50,000 Depreciation expense 10,000 Total expenses 170,000 Net income $ 30,000 AGGRESSIVE CORPORATION Balance Sheets For the year ended December 31, 2018/December 31, 2018 2018 2017 Assets Current assets: Cash $ 10,000 Accounts receivable 60,000 0 Inventory 40,000 Long-term assets: Equipment 100,000 Accumulated depreciation (10,000) Total assets $200,000 SO Liabilities and Stockholders' Equity HI5020 Corporate Accounting Individual Assignment T2 2021 Page 4 of 11 Current liabilities: Accounts payable $ 20,000 SO Interest payable 10,000 Long-term liabilities: Note payable 100,000 Stockholders' equity: Common stock 40,000 0 Retained earnings _30,000 Q Total liabilities and stockholders' equity $200,000 SO The income statement submitted with the application shows a net income of $30,000 in the first year