Comparative balance sheets for 2021 and 2020 and a statement of income for 2021 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided.

METAGROBOLIZE INDUSTRIES

Comparative Balance Sheets

December 31, 2021 and 2020

($ in thousands)20212020AssetsCash$540$285Accounts receivable670350Inventory820430Land600570Building900900Less: Accumulated depreciation(250)(220)Equipment3,3003,110Less: Accumulated depreciation(481)(440)Patent1,6001,800$7,699$6,785LiabilitiesAccounts payable$920$720Accrued liabilities310250Lease liability?land1300Shareholders' EquityCommon stock3,6403,500Paid-in capital?excess of par550460Retained earnings2,1491,855$7,699$6,785

METAGROBOLIZE INDUSTRIES

Income Statement

For the Year Ended December 31, 2021

($ in thousands)RevenuesSales revenue$3,152Gain on sale of land70$3,222ExpensesCost of goods sold$1,120Depreciation expense?building30Depreciation expense?equipment608Loss on sale of equipment25Amortization of patent200Operating expenses3502,333Net income$889

Additional information from the accounting records:

1. Annual payments of $20,000on the finance lease liability are paid each January 1, beginning in 2021.
2. During 2021, equipment with a cost of $630,000 (90% depreciated) was sold.
3. The statement of shareholders' equity reveals reductions of $230,000 and $365,000 for stock dividends and cash dividends, respectively.