LOGIC COMPANY Comparative Income Statement For Years Ended December 31, 2019 and 2020 Gross sales 2020 $20,200 2019 $15,900 Sales returns and allowances 1,000 100 Net sales $19,200 $15,800 Cost of merchandise (goods) sold 11,700 8,700 Gross profit Operating expenses: Depreciation Selling and administrative Research Miscellaneous Total operating expenses $ 7,500 $ 7,100 820 $ 660 3,100 670 2,600 560 480 360 $ 5,070 $ 4,180 Income before interest and taxes $ 2,430 Interest expense 680 Income before taxes $ 1,750 Provision for taxes 700 $ 2,920 $ 2,360 944 560 Net income $ 1,050 $ 1,416 LOGIC COMPANY Comparative Balance Sheet December 31, 2019 and 2020 Assets Current assets: Cash Accounts receivable Merchandise inventory Prepaid expenses Total current assets Plant and equipment: Building (net) 2020 2019 $ 12,500 $ 9,600 17,100 9,100 24,600 13,100 14,600 10,600 $ 63,300 $ 47,900 Land Total plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Total current liabilities Long-term liabilities: Mortgage note payable Total liabilities Common stock Stockholders' Equity Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 15,000 14,100 $11,600 9,600 $ 29,100 $ 21,200 $ 92,400 $ 69,100 $ 13,600 $ 7,600 7,500 $ 21,100 22,500 5,600 $13,200 21,100 $ 43,600 $ 34,300 $ 21,700 $ 21,700 27,100 13,100 $ 48,800 $ 34,800 $ 92,400 $ 69,100