Condensed financial data of Novak Corp. follow. Novak Corp. Comparative Balance Sheets December 31 Assets 2017 2016 Cash $ 110,696 $ 66,308 Accounts receivable 120.286 52,060 Inventory 154,125 140.905 Prepaid expenses 38,908 35,620 Long-term investments 189,060 149,330 Plant assets 390,450 332,225 Accumulated depreciation (68,500) (71,240) Total $935,025 $705,208 Liabilities and Stockholders' Equity Accounts payable $ 139,740 $ 92,201 Liabilities and Stockholders' Equity Accounts payable $ 139,740 $ 92,201 Accrued expenses payable 22,605 28,770 Bonds payable 150,700 200,020 Common stock 301,400 239,750 Retained earnings 320,580 144,467 Total $935,025 $705,208 Novak Corp. Income Statement Data For the Year Ended December 31, 2017 Sales revenue $532,190 Less: Cost of goods sold $185,580 Operating expenses, excluding depreciation 17,002 HILUIe sldlemmell Data For the Year Ended December 31, 2017 Sales revenue $532,190 Less: Cost of goods sold $185,580 Operating expenses, excluding depreciation 17,002 Depreciation expense 63,705 Income tax expense 37,374 Interest expense 6,480 Loss on disposal of plant assets 10.275 320,416 Net income $ 211,774 Additional information: 1. New plant assets costing $137,000 were purchased for cash during the year. 2. Old plant assets having an original cost of $78,775 and accumulated depreciation of $66,445 were sold for $2,055 cash. 3. Bonds payable matured and were paid off at face value for cash. 4. A cash dividend of $35,661 was declared and paid during the year. Novak Corp. Statement of Cash Flows Adjustments to reconcile net income to $