Golden Corporation's current year income statement, comparative balance sheets, and additional information follow. 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, and (5) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. GOLDEN CORPORATION Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Current Prior Year Year $ 172,000 115,800 95,000 79,000 613,000 534,000 880,000 728,800 356,500 307,000 (162,000) (108,000) $ $ 1,074,500 927,800 $ 103,000 $ 79,000 Income taxes payable 36,000 29,100 Total current liabilities 139,000 108,100 Equity Common stock, $2 par value 601,600 576,000 Paid-in capital in excess of par value, common stock 210,400 172,000 Retained earnings 123,500 71,700 $ $ Total liabilities and equity 1,074,500 927,800 GOLDEN CORPORATION Income Statement For Current Year Ended December 31 Sales 1,832,000 Cost of goods sold 1,094,000 Gross profit 738,000 Operating expenses (excluding 502,000 depreciation) Depreciation expense 54,000 Income before taxes 182,000 Income taxes expense 33,200 $ 148,800 Net income Additional Information on Current Year Transactions a. Purchased equipment for $49,500 cash. b. Issued 12,800 shares of common stock for $5 cash per share. c. Declared and paid $97,000 in cash dividends.