Hyrkas Corporation's most recent balance sheet and income statement appear below:

Statement of Financial Position

December 31, Year 2 and Year 1

(in thousands of dollars)Year 2Year 1Asset:Current assets:Cash$110$120Accounts receivable220230Inventory120110Prepaid expenses1010Total current assets460470Plant and equipment, net889869Total assets$1,349$1,339Liabilities and stockholders' equity:Current liabilities:Accounts payable$170$160Accrued liabilities6060Notes payable, short term110120Total current liabilities340340Bonds payable200250Total liabilities540590Stockholders' equity:Common stock, $1 par value100100Additional paid-in capital--common stock110110Retained earnings599540Total stockholders' equity809750Total liabilities and stockholders' equity$1,349$1,340

Income Statement

For the Year Ended December 31, Year 2

(in thousands of dollars)Sales (all on account)$1,430Cost of goods sold873Gross margin557Selling and administrative expenses331Net operating income226Interest expense54Net income b

Hyrkas Corporation's most recent balance sheet and income statement appear below: Statement of Financial Position December 31, Year 2 and Year 1 (in thousands of dollars) Year 2 Year 1 Asset: Current assets: Cash $ 110 $ 120 Accounts receivable 220 230 Inventory 120 110 Prepaid expenses 15 15 Total current assets 465 475 Plant and equipment, net 904 884 Total assets $ 1,369 $ 1,359 Liabilities and stockholders' equity: Current liabilities: Accounts payable $ 170 $ 160 Accrued liabilities 60 60 Notes payable, short term 110 120 Total current liabilities 340 340 Bonds payable 195 245 Total liabilities 535 585 Stockholders' equity: Common stock, $1 par value 100 100 Additional paid-in capital--common stock 110 110 Retained earnings 624 570 Total stockholders' equity 834 780 Total liabilities and stockholders' equity $ 1,369 $ 1,365Income Statement For the Year Ended December 31, Year 2 (in thousands of dollars) Sales (all on account) $1,340 Cost of goods sold 851 Gross margin 489 Selling and administrative expenses 286 Net operating income 203 Interest expense 32 Net income before taxes 171 Income taxes (30%) 51 Net income $ 120 Dividends on common stock during Year 2 totaled $30 thousand. The market price of common stock at the end of Year 2 was $9.37 per share