Golden Corp., a merchandiser, recently completed its 2017 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The companys balance sheets and income statement follow. GOLDEN CORPORATION Comparative Balance Sheets December 31, 2017 and 2016 2017 2016 Assets Cash $ 179,000 $ 123,500 Accounts receivable 105,500 86,000 Inventory 623,500 541,000 Total current assets 908,000 750,500 Equipment 375,400 314,000 Accum. depreciationEquipment (165,500 ) (111,500 ) Total assets $ 1,117,900 $ 953,000 Liabilities and Equity Accounts payable $ 117,000 $ 86,000 Income taxes payable 43,000 32,600 Total current liabilities 160,000 118,600 Equity Common stock, $2 par value 622,000 583,000 Paid-in capital in excess of par value, common stock 211,000 182,500 Retained earnings 124,900 68,900 Total liabilities and equity $ 1,117,900 $ 953,000 GOLDEN CORPORATION Income Statement For Year Ended December 31, 2017 Sales $ 1,867,000 Cost of goods sold 1,101,000 Gross profit 766,000 Operating expenses Depreciation expense $ 54,000 Other expenses 509,000 563,000 Income before taxes 203,000 Income taxes expense 43,000 Net income $ 160,000 Additional Information on Year 2017 Transactions Purchased equipment for $61,400 cash. Issued 13,500 shares of common stock for $5 cash per share. Declared and paid $104,000 in cash dividends.