P4.6 (LO 1, 2) Excel (Preparation of a Statement of Cash Flows and a Balance Sheet) Lans- bury Inc. had the following balance sheet at December 31, 2024. Lansbury Inc. Balance Sheet December 31, 2024 Cash Accounts receivable $ 20,000 Accounts payable $ 30,000 21,200 Notes payable (long-term) 41,000 Investments 32,000 Common stock 100,000 Plant assets (net) Land 81,000 Retained earnings 23,200 $194,200 40,000 $194,200 During 2025, the following occurred. 1. Lansbury Inc. sold part of its debt investment portfolio for $15,000. This transaction resulted in a gain of $3,400 for the firm. The company classifies these investments as available-for-sale. 2. A tract of land was purchased for $13,000 cash. 3. Long-term notes payable in the amount of $16,000 were retired before maturity by paying $16,000 cash. 4. An additional $20,000 in common stock was issued at par. 5. Dividends of $8,200 were declared and paid to stockholders. 6. Net income for 2025 was $32,000 after allowing for depreciation of $11,000. 7. Land was purchased through the issuance of $35,000 in bonds. 8. At December 31, 2025, Cash was $37,000, Accounts Receivable was $41,600, and Accounts Payable remained at $30,000.