Carlberg Corp., a merchandiser, recently completed its 2017 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The companys balance sheets and income statement follow.

CARLBERG CORPORATION Comparative Balance Sheets December 31, 2017 and 2016
	2017				2016
Assets
Cash	$	245,000			$	161,000
Accounts receivable		101,000				86,000
Inventory		613,000				536,000
Total current assets		959,000				783,000
Equipment		361,000				314,000
Accum. depreciationEquipment		(170,000	)			(109,000	)
Total assets	$	1,150,000			$	988,000
Liabilities and Equity
Accounts payable	$	99,000			$	81,000
Income taxes payable		29,000				26,000
Total current liabilities		128,000				107,000
Equity
Common stock, $2 par value		652,000				618,000
Paid-in capital in excess of par value, common stock		224,000				173,000
Retained earnings		146,000				90,000
Total liabilities and equity	$	1,150,000			$	988,000

CARLBERG CORPORATION Income Statement For Year Ended December 31, 2017
Sales				$	1,979,000
Cost of goods sold					1,200,000
Gross profit					779,000
Operating expenses
Depreciation expense	$	61,000
Other expenses		546,000			607,000
Income before taxes					172,000
Income taxes expense					52,650
Net income				$	119,350

Additional Information on Year 2017 Transactions

1. Purchased equipment for $47,000 cash.
2. Issued 17,000 shares of common stock for $5 cash per share.
3. Declared and paid $63,350 in cash dividends.