Larkspur Ski Haus had the following statements prepared as of December 31, 2020 LARKSPUR SKI HAUS COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 12/31/19 Cash $2.500 $4,000 Accounts receivable 103,000 98.000 Short-term debt investments (available-for-sale) 95,000 122.000 Inventories 92.000 55.000 Prepaid insurance 4.200 6,000 Ski equipment 88.000 43.000 Accumulated depreciation-equipment (23.500) (18.5008 Trademarks 79,000 82.000 Total assets $440,200 $391.500 Accounts payable $93.200 $73,000 Income taxes payable 22.100 16,000 Wages payable 1.900 1.900 Short-term loans payable 23.300 Long-term loans payable 71800 121000 Common stock $1 par 100,000 100.000 Additional paid-in capital 20,000 20,000 Retained earnings 105,900 52.600 Total liabilities & stockholders' equity $440,200 $391.500 LARKSPUR SKI HAUS INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales Cost of goods sold Gross pront $535.400 300.000 232,400 Operating expenses 95,000 Operating income 137,400 Interest expense $20,300 Loss on sale of equipment 4,100 24,400 Income before tax 113,000 Income tax expense 39.700 Net income $73,300 Additional information 1 Dividends in the amount of $20,000 were declared and paid during 2020 2 Depreciation expense and amortization expense are included in operating expenses 3 Equipment that had a cost of $25,100 and was 20% depreciated was sold during 2020