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Please solve completely Exercise 17-8 Here are comparative balance sheets for Velo Company. VELO COMPANY Comparative Balance Sheets December 31 Assets 2017 2016 $72,500 $32,600

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Exercise 17-8 Here are comparative balance sheets for Velo Company. VELO COMPANY Comparative Balance Sheets December 31 Assets 2017 2016 $72,500 $32,600 Cash 86,500 Accounts receivable 71,400 169,600 187,300 Inventory 73,700 101,900 Land 259,200 200,200 Equipment (66,000) (33,500) Accumulated depreciation equipment $595,500 $559,900 Total Liabilities and Stockholders' Equity $35,200 $46,700 Accounts payable Bonds payable 150,200 203,700 Common stock ($1 par) 214, 100 76,000 196,000 133,500 Retained earnings $595,500 $559,900 Total Additional information: 1. Net income for 2017 was $102,500 2. Cash dividends of $40,000 were declared and paid. Bonds payable amounting to $53,500 were redeemed for cash $53,500 4. Common stock was issued for $38,100 cash. 5. No equipment was sold during 2017, but land was sold at cost

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