Here are simplified financial statements for Watervan Corporation: INCOME STATEMENT (Figures in $ millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes (EBIT) Interest expense Income before tax Taxes Net income $885.00 745.00 35.00 $105.00 16.00 $ 89.00 18.69 $ 70.31 BALANCE SHEET (Figures in $ millions) End of Year Start of Year $ 373 266 $ 320 226 Assets Current assets Long-term assets Total assets Liabilities and shareholders' equity Current liabilities Long-term debt Shareholders' equity $ 639 $ 546 $ 198 112 329 $ 161 125 260 TL 1-2 - LLLLLL C G CA