Krause Industries' balance sheet at December 31, 2016, is presented below. KRAUSE INDUSTRIES Balance Sheet December 31, 2016 Assets Current Assets $7,500 Cash Accounts receivable 73,500 26.160 Finished goods inventory (1,500 units) Total current assets 107,160 Property, Plant, and Equipment $40,670 Equipment 10,310 30,360 Less: Accumulated depreciation $137,520 Total assets Liabilities and Stockholders' Equity Liabilities Notes payable $25,170 Accounts payable 46,970 Total liabilities 72,140 Stockholders' Equity $37,970 Common stock 27,410 Retained earnings Total stockholders equity 65,380 $137,520 Total liabilities and stockholders' equity Budgeted data for the year 2017 include the following. Quarter 4 Tota Sales budget (8,000 units at $32) 76,800 $256,000 Direct materials used 14,990 62,500 Direct labor 12,500 50,900 Manufacturing overhead applied 10,000 49,630 Selling and administrative expenses 16,360 75,000