Balance Sheet at December 31 Cash Accounts Receivable Equipment Accumulated Depreciation-Equipment Total Assets Accounts Payable Salaries and Wages Payable Notes Payable (long-term) Common Stock Retained Earnings $ 520 Current Year $ 6,260 880 5,280 (1,460) $ 10,960 Previous Year $ 3,920 1,710 4,800 (1,230) $ 9,200 $ 1,000 520 1,700 750 500 4,800 4,800 3,420 2,150 Total Liabilities and Stockholders' Equity $ 10,960 $ 9,200 Income Statement Service Revenue $ 39,900 Salaries and Wages Expense Depreciation Expense Income Tax Expense Net Income 37,400 230 1,000 $ 1,270 Additional Data: a. Bought new hockey equipment for cash, $480. b. Borrowed $1,200 cash from the bank during the year. c. Accounts Payable includes only purchases of services made on credit for operating purposes. Because there are no liability accounts relating to income tax, assume that this expense was fully paid in cash.