For December 31, 20XX, the balance sheet of the Gardner Corporation is as follows: Balance Sheet Liabilities Current Assets $15,000Accounts payable 18,300 Notes payable 26,400Bonds payable 19,200 $19,400 21,700 59,300 Cash Accounts receivable Inventory Prepaid expenses Capital Assets Plant and equipment (gross) Less: Accumulated amortization Shareholders Equity $282,000 Common stock 57,500 Retained earnings $75,000 128,000 Net plant and equipment 224,500 Total assets $303, 400 Total 1iabilities and shareholders' equity $303,400 Sales for 20XY were $287000, with cost of goods sold being 65 percent of sales. Amortization expense was 15 percent of plant and equipment (net) at the beginning of the year. Interest expense for the bonds payable was 21 percent, while interest on the notes payable was 13 percent. These are based on December 31, 20XX, balances. Selling and administrative expenses were $30,200, and the tax rate averaged 18 percent During 20XY, the cash balance and prepald expense balance were unchanged. Accounts receivable and inventory each increased by 12 percent, and accounts payable increased by 28 percent. A new machine was purchased on December 31, 20XY, at a cost of $25,000. A cash dividend of $16,400 was paid to common shareholders at the end of 20XY. Also, notes payable increased by O and bonds payable decreased by 10,670. The common stock account did not change. $25,000. A cash dividend of $16,400 was paid to common shareholders at the end of 20XY. Also, notes payable increased by $860 and bonds payable decreased by 10,670. The common stock account did not change. a. Prepare an income statement for 20XY. (Input all answers as positive values.) Gardner corporation Income Statement For the Year Ending December 31, 20xY Sales Cost of good sold Gross profit Selling and administrative expense Amortization expense Operating profit Interest expense Earnings before taxes Taxes Earnings after taxes b. Prepare a balance sheet as of December 31, 20XY. (Input all answers as positive values. Be sure to list the assets and liabilities in order of their liquidity.) Gardner Corporation Balance Sheet For the Year Ended December 31, 20XY Current Assets Liabilities (Click to select) (Click to select) (Click to select) (Click to select) Click to select) (Click to select) (Click to select) Current assetr Liabilities (Click to select) (Click to select) (Click to select) (Click to select) Net plant and equipment Total assets sTotal liabilities and shareho1ders' equity c. Prepare a statement of cash flows for the year ending December 31, 20XY (Record the change in the notes payable under the operating activity of Cash flow. Do not leave any empty spaces; input a 0 wherever it is required. Amounts to be deducted should be Indicated with a minus sign. Omit $ sign in your response.) Gardner Corporation Statement of cash Flows r the Year Ended December 31, 20XY Operating Activities (Click to select) Add items not requiring an outlay of cash: Click to select) Cash flow from operations Changes in non-cash working capital: (Click to select) (Click to select) (Click to select) (Click to select) Net Change in non-cash working capital Cash (Click to sele) operating activities Investing activities (Click to select) cash Click to seler? Investing activities Finaneing activitiess Click to select) (Click to select) Cash (Click to select finaneing activities cash, beginning of year Cash, end of year