Cash $ 36,000 $29.000 $ 7,000 Accounts receivable 125,000 97.000 28.000 Inventory 100,000 114,000 (14,000) Equipment 740.000 600,000 140,000 Accum depreciation 370,000 220,000 150,000 Accounts payable 170,000 150,000 20,000 Unearned revenue 74,000 44,000 30,000 Accrued salaries 25,000 40,000 (15.000) Taxes payable 9.000 8.000 1.000 Long-term notes payable 50,000 138,000 (88,000) Common stock 215.000 200.000 15,000 Retained earnings 88.000 40.000 48.000 Income Statement 2021 Sales revenue $2,800,000 Cost of sales 1,600,000 Salaries expense 900,000 Depreciation expense 200,000 Interest expense 20,000 Gain on sale of equipment 10,000 Income tax expense 25,000 Net Income $ 65.000 Cash $ 36,000 $29.000 $ 7,000 Accounts receivable 125,000 97.000 28.000 Inventory 100,000 114,000 (14,000) Equipment 740.000 600,000 140,000 Accum depreciation 370,000 220,000 150,000 Accounts payable 170,000 150,000 20,000 Unearned revenue 74,000 44,000 30,000 Accrued salaries 25,000 40,000 (15.000) Taxes payable 9.000 8.000 1.000 Long-term notes payable 50,000 138,000 (88,000) Common stock 215.000 200.000 15,000 Retained earnings 88.000 40.000 48.000 Income Statement 2021 Sales revenue $2,800,000 Cost of sales 1,600,000 Salaries expense 900,000 Depreciation expense 200,000 Interest expense 20,000 Gain on sale of equipment 10,000 Income tax expense 25,000 Net Income $ 65.000