Presented below are the 2021 income statement and comparative balance sheets for Santana Industries. SANTANA INDUSTRIES Income Statement Service revenue For the Year Ended December 31, 2021 Sales revenue Total revenue Operating expenses: ($ in thousands) $ 16,650 5,800 $22,450 Cost of goods sold 8,400 Selling expense 3,600 General and administrative expense 2,700 Total operating expenses 14,700 Operating income 7,750 Interest expense 270 Income before income taxes 7,480 Income tax expense 2,800 Net income $ 4,680 Assets: Cash Balance Sheet Information ($ in thousands) Accounts receivable Dec. 31, 2021 Dec. 31, 2020 $ 9,500 4,900 Inventory Prepaid rent 6,400 $ 3,280 3,400 4,200 270 540 Equipment Less: Accumulated depreciation Total assets Liabilities and Shareholders' Equity: Accounts payable 16,900 14,400 (6,300) (5,700) $31,670 $20,120 $ 3,800 $ 2,300 Interest payable Deferred revenue 220 1,040 0 Income taxes payable Notes payable (due 12/31/2023) 670 720 1,040 7,400 0 Common stock 11,200 11,200 Retained earnings 7,340 4,860 Total liabilities and shareholders' equity $31,670 $20,120