Hartman, Inc. has prepared the following comparative balance sheets for 2020 and 2021: Cash Accounts receivable Inventory Prepaid expenses Plant assets Accumulated depreciation Patent Accounts payable Accrued liabilities Mortgage payable Preferred stock Additional paid-in capital-preferred Common stock Retained earnings 2021 $ 282,000 139,000 2020 $ 153,000 117,000 150,000 180,000 18,000 27,000 1,295,000 1,050,000 (450,000) (375,000) 153,000 $1,587,000 $ 153,000 174,000 $1,326,000 $ 168,000 42,000 60,000 450,000 525,000 120,000 600,000 600,000 129,000 66,000 $1,587,000 $1,326,000 1. The Accumulated Depreciation account has been credited only for the depreciation expense for the period. 2. The Retained Earnings account has been charged for dividends of $138,000 and credited for the net income for the year. The income statement for 2021 is as follows: Sales revenue $1,980,000 Cost of sales 1,089,000 Gross profit 891,000 Operating expenses 690,000 Net income $201,000