Q$.$ No: $2$ You are the chief accountant for electro products incorporation. Your assistant has prepared an income statement for the current year and has developed the following additional information by analyzing changes in the company's balance sheet accounts:

Changes in the company's balance sheet accounts over the year are summarized as follows:

$\backslash$table$[[\backslash$table$[[$Electro Products Incorporation$],[$Income statement$],[$For the year ended December $31,2011]]],[$Revenue:$,,],[,,$$$9,500,000],[$Net sales,,$],[$Interest income,,$320,000],[\backslash$table$[[$Gain on sales of marketable$],[$securities$]],,70,000],[$Total revenue and gains,,$$9,890,000],[$Cost and Expenses :$,,],[$Cost of goods sold,$$4,860,000,],[\backslash$table$[[$Operating expenses $($including$],[$depreciation of $700,000$