Exercise 23-14 Grouper Inc., a greeting card company, had the following statements prepared as of December 31, 2017 GROUPER INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2017 AND 2016 12/31/17 12/31/16 Cash $5,900 $7,000 Accounts receivable 61,500 51,400 Short-term debt investments (available-for-sale) 35,400 17,800 39,900 60,40 Inventony Prepaid rent Equipment Accumulated depreciation-equipment Copyrights Total assets 4,900 3,900 155,300 131,000 (34,700) (25,200) 45,900 49,900 $314,100 $296,200 Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities & stockholders' equity $46,500 $39,600 5,900 4,100 9,900 68,600 100,000 100,000 30,000 30,000 38,100 $314,100 $296,200 4,100 8,100 8,000 60,600 56,800 GROUPER INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2017 Sales revenue Cost of goods sold Gross profit Operating expenses Operating income Interest expense Gain on sale of equipment Income before tax Income tax expense Net income $335,275 173,900 161,375 121,000 40,375 $11,500 2,000 9,500 30,879 6,175 $24,700