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Portions of the financial statements for Software Associates are provided below.

SOFTWARE ASSOCIATES Income Statement For the year ended December 31, 2015
Net sales		$	630,000
Expenses:
Cost of goods sold	$380,000
Operating expenses	122,000
Depreciation expense	32,200
Income tax expense	45,000
Total expenses			579,200
Net income		$	50,800

SOFTWARE ASSOCIATES
Selected Balance Sheet Data
December 31, 2015, compared to December 31, 2014
Decrease in accounts receivable	$9,200
Decrease in inventory	12,200
Increase in prepaid rent	2,200
Decrease in salaries payable	3,200
Increase in accounts payable	6,200
Increase in income tax payable	7,200