i

Revenues Sales revenue $ 300 Dividend revenue 7 $ 307 Expenses Cost of goods sold 170 Salaries expense 45 Depreciation expense Bad debt expense Interest expense Loss on sale of building Income tax expense 22 261 Net income $ 46Liabilities Accounts payable 59 $ 73 Salaries payable 3 6 Interest payable 9 4 Income tax payable 8 16 Notes payable 35 O Bonds payable 95 70 Less: Discount on bonds (5) (6) Shareholders' Equity Common stock 210 200 Paid-in capital-excess of par 24 20 Retained earnings 88 67 Less: Treasury stock (9) 0 $ 520 $ 450