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Garys TV had the following accounts and amounts in its financial statements on December 31, 2016. Assume that all balance sheet items reflect account balances

Garys TV had the following accounts and amounts in its financial statements on December 31, 2016. Assume that all balance sheet items reflect account balances at December 31, 2016, and that all income statement items reflect activities that occurred during the year then ended.

Interest expense $ 29,000
Paid-in capital 81,000
Accumulated depreciation 30,000
Notes payable (long-term) 281,000
Rent expense 69,000
Merchandise inventory 830,000
Accounts receivable 185,000
Depreciation expense 12,000
Land 125,000
Retained earnings 466,200
Cash 142,000
Cost of goods sold 1,760,000
Equipment 65,000
Income tax expense 261,200
Accounts payable 97,000
Sales revenue 2,523,000

Required:

a. Calculate the difference between current assets and current liabilities for Garys TV at December 31, 2016.

b. Calculate the total assets at December 31, 2016.

c. Calculate the earnings from operations (operating income) for the year ended December 31, 2016.

d. Calculate the net income (or loss) for the year ended December 31, 2016.

e. What was the average income tax rate for Garys TV for 2016?

f. If $385,800 of dividends had been declared and paid during the year, what was the January 1, 2016, balance of retained earnings?

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