For December 31, 20x1, the balance sheet of Baxter Corporation was as follows: $ 29,000 37.000 67,000 Current Assets Cash Accounts receivable Inventory Prepaid expenses Fixed Assets Gross plant and equipment Last Accumulated depreciation Liabilities $ 27,000 Accounts payable 32,000 Notes payable 42,000 Bonds payable 23,700 Stockholders Equity $ 267,000 Preferred stock (53,400) Common stock Paid in Capital 3.213,600_retained earnings $ 320,300 Total liabilities and stockholders' equity $ 37,000 72,000 42,000 44.300 $328,300 Het plant and equipent Total assets Sales for 20x2 were $305,000, and the cost of goods sold was 55 percent of soles. Seling and administrative expense was $30,500 Depreciation expense was 10 percent of plant and equipment (gross) at the beginning of the year. Interest expense for the notes payable was 12 percent, while the interest rate on the bonds payable was 14 percent. This interest expense is based on December 31, 20x1 balances. The tax rate averaged 30 percent $3.700 in preferred stock dividends were pald, and $3,481 in dividends were paid to common stockholders. There were 10,000 shares of common stock outstanding During 20x2. the cash balance and prepaid expenses balances were unchanged. Accounts receivable and Inventory increased by 12 percent. A new machine was purchased on December 31, 20x2. at a cost of $52,000, Accounts payable increased by 20 percent. Notes payable increased by $7.700 and bonds payable decreased by $18,500, both at the end of the year. The preferred stock, common stock, and capital paid in excess of par accounts did not change. a. Prepare an income statement for 20x2. (Round EPS answer to 2 decimal places.) Baxter Corporation 20x2 Income Statement $ 0 a. Prepare an income statement for 20X2. (Round EPS answer to 2 decimal places.) Baxter Corporation 20X2 Income Statement $ 0 $ 0 $ 0 $ 0 $ 0 Earnings available to common stockholders Shares outstanding Earnings per share b. Prepare a statement of retained earnings for 20x2. Baxter Corporation 20X2 Statement of Retained Eamings Retained earnings balanco, January 1, 20X2 Retained earnings balance, December 31, 20X2 c. Prepare a balance sheet os of December 31, 20x2. (Amounts to be deducted should be indicated with parentheses or a minus sign.) Baxter Corporation 20x2 Balance Sheet Liabilities and Stockholders' Equity Assets Current A Torrent Total $ O Stockholders' Equity Nanda $ 0 Total choquity Totalt und stock $ 0 Tas 5 S