Dixon Corporation reported 20X1 accrual basis net income of $50,000. Relevant information to adjust accrual basis income to cash basis income follows.

Depreciation expense$12,000

Loss on the sale of land 16,000

Increase in accounts receivable 8,000

Decrease in merchandise inventory 4,000

Increase in accounts payable 3,000

Increase in taxes payable 2,000