Following are a statement of cash flows (indirect method) for Harris, Inc., for the year ended December 31, 2017, and the firms balance sheet at December 31, 2016:

HARRIS, INC.
Statement of Cash Flows
For the year Ended December 31, 2017
Cash Flows from Operating Activities:
Net income	$	13,600
Add (deduct) items not affecting cash:
Depreciation expense		32,000
Increase in accounts receivable		(7,000	)
Decrease in merchandise inventory		32,800
Increase in accounts payable		4,900
Net cash provided by operating activities	$	76,300
Cash Flows from Investing Activities
Purchase of buildings		(91,400	)
Proceeds from sale of land at its cost		8,300
Net cash used by investing activities	$	(83,100	)
Cash Flows from Financing Activities:
Payment of short-term debt		(4,900	)
Payment of notes payable		(10,600	)
Proceeds from issuance of long-term debt		16,400
Proceeds from issuance of common stock		8,900
Payment of cash dividends on common stock		(5,700	)
Net cash provided by financing activities	$	4,100
Net decrease in cash for the year	$	(2,700	)

HARRIS, INC.
Balance Sheet
At December 31, 2016
Assets
Cash	$	17,800
Accounts receivable		61,800
Merchandise inventory		76,800
Total current assets	$	156,400
Land		34,700
Buildings		119,600
Less: Accumulated depreciation		(72,100	)
Total land and buildings	$	82,200
Total assets	$	238,600
Liabilities
Accounts payable	$	59,600
Short-term debt		17,900
Notes payable		35,600
Total current liabilities	$	113,100
Long-term debt		51,200
Stockholders' Equity
Common stock, no par	$	20,600
Retained earnings		53,700
Total Stockholders' Equity	$	74,300
Total liabilities and Stockholders' Equity	$	238,600

Required:

a. Using the preceding information, complete the balance sheet for Harris, Inc., at December 31, 2017.

b. Complete the statement of changes in retained earnings for the year ended December 31, 2017. (Amounts to be deducted should be

HARRIS, INC Balance Sheet At December 31, 2017 Assets: Current assets: Cash Accounts receivable Merchandise inventory Total current assets Noncurrent assets Land Buildings Less: Accumulated depreciation Total noncurrent assets Total assets Liabilities and Stockholders' Equity: Current liabilities Accounts payable Short-term debt Notes payable Total current liabilities Long-term debt Stockholders' Equity: Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity HARRIS, INC Statement of Changes in Retained Earnings For the Year Ended December 31, 2017 Retained earnings, January 1, 2017 Retained earnings balance , December 31, 2017