Problem 23-3 Mortonson Company has not yet prepared a formal statement of cash flows for the 2014 fiscal year. Comparative balance sheets as of December 31, 2013 and 2014, and a statement of income and retained earnings for the year ended December 31, 2014, are presented as follows MORTONSON COMPANY STATEMENT OF INCOME AND RETAINED EARNINGS FOR THE YEAR ENDED DECEMBER 31, 2014 ($000 OMITTED) Sales revenue Expenses $3,899 $1,242 730 84 84 Cost of goods sold Salaries and benefits Heat, light, and power Depreciation Property taxes Patent amortization Miscellaneous expenses Interest 26 13 2,234 1,665 833 832 320 1,152 605 $547 Income before income taxes Income taxes Net income Retained earnings-Jan. 1, 2014 Stock dividend declared and issued Retained earnings-Dec. 31, 2014