For Current Year Ended December 31 Sales Cost of goods sold $ 632,500 295,000 Gross profit Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) 337,500 $ 142,400 30,750 173,150 Loss on sale of equipment Income before taxes (15,125) Income taxes expense Net income Assets Cash FORTEN COMPANY Comparative Balance Sheets December 31 Accounts receivable Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Long-term notes payable Total liabilities Equity Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings Total liabilities and equity 149,225 38,250 $ 110,975 Current Year Prior Year $ 64,900 80,870 290,656 1,310 437,736 147,500 (41,625) $ 543,611 $ 83,500 60,625 261,800 2,095 408,020 118,000 (51,000) $ 475,020 $ 63,141 $ 129,675 73,000 136,141 66,750 196,425 177,750 52,500 177,220 $ 543,611 160,250 118,345 $ 475,020