on 11 5 pts Doonesbury Chemicals Inc. recently reported $125,000 of sales. $75.500 of operating costs other than depreciation, and $10.200 of depreciation. The company had $16,500 of outstanding bonds that carry a 7.25% interest rate, and its federal-plus- state income tax rate was 25%. How much was the firm's net income? (Round your answers to the nearest dollar) $39.300 $50,000 $38.104 $20.805 $28.578 Question 12 5 pts Which of the following statements is True? If a company's statements were prepared correctly, the market value of the stock equals the book value of the stock as reported on the balance sheet The Income statement gives us a picture of the firm's financial position at a point in time The retained earnings account on the balance sheet does not represent cash. Rather, it represents part of the stockholders' ctsin against the firm's existing assets. Put another way, retained earnings are stockholders' reinvested earnings The balance sheet for a given year tells us how much money the company earned during that year, The balance sheet for a given year is designed to give us an idea of what happened to the form during that year