Marigold Corp.s unadjusted trial balance at December 1, 2022, is presented below. Debit Credit

Cash $22,600

Accounts Receivable 36,300

Notes Receivable 11,000

Interest Receivable 0

Inventory 34,400

Prepaid Insurance 3,600

Land 21,500

Buildings 162,000

Equipment 61,000

Patent 9,000

Allowance for Doubtful Accounts $500

Accumulated DepreciationBuildings 54,000

Accumulated DepreciationEquipment 24,400

Accounts Payable 28,600

Salaries and Wages Payable 0

Notes Payable (due April 30, 2023) 10,300

Income Taxes Payable 0

Interest Payable 0

Notes Payable (due in 2028) 35,200

Common Stock 53,000

Retained Earnings 49,000

Dividends 12,900

Sales Revenue 857,000

Interest Revenue 0

Gain on Disposal of Plant Assets 0

Bad Debt Expense 0

Cost of Goods Sold 571,000

Depreciation Expense 0

Income Tax Expense 0

Insurance Expense 0

Interest Expense 0

Other Operating Expenses 55,700

Amortization Expense 0

Salaries and Wages Expense 111,000

Total $1,112,000 $1,112,000 The following transactions occurred during December.

Dec. 2 Purchased equipment for $16,600, plus sales taxes of $800 (paid in cash).

2 Marigold sold for $3,800 equipment which originally cost $5,100.

Accumulated depreciation on this equipment at January 1, 2022, was $1,600; 2022 depreciation prior to the sale of equipment was $775.

15 Marigold sold for $5,200 on account inventory that cost $3,700.

23 Salaries and wages of $6,500 were paid for December.

Adjustment data: 1. Marigold estimates that uncollectible accounts receivable at year-end are $4,100.

2. The note receivable is a 1-year, 8% note dated April 1, 2022. No interest has been recorded.

3. The balance in prepaid insurance represents payment of a $3,600, 6-month premium on September 1, 2022.

4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $33,000.

5. The equipment owned prior to this year is being depreciated using the straight-line method over 5 years. The salvage value is 10% of cost.

6. The equipment purchased on December 2, 2022, is being depreciated using the straight-line method over 5 years, with a salvage value of $1,800.

7. The patent was acquired on January 1, 2022, and has a useful life of 9 years from that date.

8. Unpaid salaries at December 31, 2022, total $2,000.

9. Both the short-term and long-term notes payable are dated January 1, 2022, and carry a 10% interest rate. All interest is payable in the next 12 months.

10 Income tax expense was $17,000. It was unpaid at December 31.

Prepare a 2022 income statement.