Problem 12-7A (Part Level Submission) Presented below are the financial statements of Oriole Company Oriole Company Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Property, plant, and equipment Accumulated depreciation Total 2017 81,200 46,400 2016 $ 46,400 32,480 46,400 180,960 64,960 139,200 (74,240) (55,680) $257,520 $250,560 Liabilities and Stockholders' Equit Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total ity$ 44,080 $ 34,800 16,240 39,440 41,760 116,000 $257,520 18,560 76,560 32,480 88,160 $250,560 Oriole Company Income Statement For the Year Ended December 31, 2017 Sales revenue Cost of goods sold Gross profit Selling expenses Administrative expenses Income from operations Interest expense Income before income taxes Income tax expense Net income 5561,440 406,000 155,440 $41,760 13,920 55,680 99,760 6,960 92,800 18,560 $ 74,240 Additional data 1 Depreciation expense was $40,600 Oriole Company Statement of Cash Flows For the Year Ended December 31, 2017 Cash Flows from Operating Activities Net Income 74240 Adjustments to reconcile net income to Increase in Accounts Receivable 13920 Increase in Inventory 18560 Increase in Accounts Payable 9280 Increase in Accounts Payable 9280 Decrease in Income Taxes Payable 2320 15080 Net Cash Provided by Operating Activities 89320 Cash Flows from Investing Activities Sale of Equipment 19720 Cash Flows from Financing Activities Payment of Dividends Redemption of Bonds 37120 Issuance of Common Stock 9280 Net Cash used by Financing Activities 74240 Net Increase in Cash 34800 Cash at Beginning of Period 46400 Cash at End of Period 81200