Golden Corp.'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, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes.

GOLDEN CORPORATION Comparative Balance Sheets December 31
	Current Year						Prior Year
Assets
Cash		$	177,000					$	121,300
Accounts receivable			102,500						84,000
Inventory			620,500						539,000
Total current assets			900,000						744,300
Equipment			370,000						312,000
Accum. depreciationEquipment			(164,500	)					(110,500	)
Total assets		$	1,105,500					$	945,800
Liabilities and Equity
Accounts payable		$	113,000					$	84,000
Income taxes payable			41,000						31,600
Total current liabilities			154,000						115,600
Equity
Common stock, $2 par value			607,600						581,000
Paid-in capital in excess of par value, common stock			219,400						179,500
Retained earnings			124,500						69,700
Total liabilities and equity		$	1,105,500					$	945,800

GOLDEN CORPORATION Income Statement For Current Year Ended December 31
Sales				$	1,857,000
Cost of goods sold					1,099,000
Gross profit					758,000
Operating expenses
Depreciation expense	$	54,000
Other expenses		507,000			561,000
Income before taxes					197,000
Income taxes expense					40,200
Net income				$	156,800

Additional Information on Current Year Transactions

1. Purchased equipment for $58,000 cash.
2. Issued 13,300 shares of common stock for $5 cash per share.
3. Declared and paid $102,000 in cash dividends.

GOLDEN CORPORATION
Spreadsheet for Statement of Cash Flows
For Current Year Ended December 31
		Analysis of Changes
	December 31, Prior Year	Debit	Credit	December 31, Current Year
Balance sheetdebit balance accounts
Cash	$121,300			$177,000
Accounts receivable	84,000
Inventory	539,000
Equipment	312,000
	$1,056,300
Balance sheetcredit balance accounts
Accumulated depreciationEquipment	$110,500
Accounts payable	84,000
Income taxes payable	31,600
Common stock, $2 par value	581,000
Paid-in capital in excess of par value, common stock	179,500
Retained earnings	69,700
	$1,056,300
Statement of cash flows
Operating activities
Investing activities
Financing activities