La Paz Company engaged in the following transactions during 2012. its first year in operation: (Assume all transactions are cash transactions) Acquired $4, 100 cash from issuing common stock Borrowed $2, 750 from a bank Earned $3, 650 of revenues Incurred $2, 510 in expenses. Paid dividends of $510. La Paz Company engaged in the following transactions during 2013. Acquired an additional $1, 050 cash from the issue of common stock Repaid $1, 685 of its debt to the bank. Earned revenues. $5, 050. Incurred expenses of $2, 970. Paid dividends of $1, 300. The amount of liabilities on La Paz's 2013 balance sheet was $790. ($1, 685). $1, 050. $1.065