Question
K Corporation, a merchandiser, recently completed its calendar year 2019 operations. The company's income statement and balance sheet follow: K CORPORATION Comparative Balance Sheets December
K Corporation, a merchandiser, recently completed its calendar year 2019 operations. The company's income statement and balance sheet follow: K CORPORATION Comparative Balance Sheets December 31, 2019 and 2018 Assets Cashi 2019 2018 $292,540 $272,150 Accounts receivable 105,130 97,740 Inventory 296.790 289.380 Total current assets 694,460 659,270 Investments Land Equipment 0 112,120 152,230 0 327,450 255,860 Accum. depreciation-Equipment (76,660) (68.990) Total assets $1,097,480 $958,260 Liabilities and Equity Accounts payable $198,220, $188,780 Salaries payable 30,660 33.530 Total liabilities 228,880 222,310 Equity Common stock, 33 par vale 59450 46,950 Paid-in capital in exces of par, commen 222.320 130.320 stock Retained earnings Total abilities and equity KCORPORATION Income Statement 300-830 $1,097,480 $958260 For Year Ended December 31, 2019 Sales Cost of goods sold Gross profit $1.569,560 646200 923.260 Operating expenses Depreciation expense $7.670 Other expense 15130 822.800 Other gains (losses) Loss on sale of investment Income before taxes Income taxes expense (20.270) 70,190 22.250 547440 Net income Additional Information on Year 2019 Transactions 1. Equipment of $71.590 and land of $152, 230 were acquired for cash during the year. 2. There were no disposals of equipment during the year. 3. The investments were sold for $81,850 cash during the year. 4. The common stock issued during the year was issued for cash 5. Declared and paid cash dividends of $19,290. The net cash flows provided (used) by investing activities in 2019 are $81.850 $170.380) $305.670 $223,820 $141,9701 Ants
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