Garys TV had the following accounts and amounts in its financial statements on December 31, 2022. Assume that all balance sheet items reflect account balances at December 31, 2022, and that all income statement items reflect activities that occurred during the year then ended.

Interest expense	$ 6,500
Paid-in capital	26,000
Accumulated depreciation	7,000
Notes payable (long-term)	75,000
Rent expense	15,000
Merchandise inventory	146,000
Accounts receivable	58,000
Depreciation expense	3,500
Land	59,000
Retained earnings	174,500
Cash	22,500
Cost of goods sold	260,000
Equipment	50,000
Income tax expense	90,000
Accounts payable	53,000
Net sales	510,000

Required:

1. Calculate the difference between current assets and current liabilities for Garys TV at December 31, 2022.
2. Calculate the total assets at December 31, 2022.
3. Calculate the earnings from operations (operating income) for the year ended December 31, 2022.
4. Calculate the net income (or loss) for the year ended December 31, 2022.
5. What was the average income tax rate for Garys TV for 2022?
6. If $22,000 of dividends had been declared and paid during the year, what was the January 1, 2022, balance of retained earnings?