Question 12

he comparative balance sheet of Martinez Inc. for December 31, 20Y4 and 20Y3, is as follows: Dec. 31, 20Y4 Dec. 31, 20Y3 $661,920 992,640 1,394,400 $683,100 914,400 1,363,800 432,000 Inventories Investments Land 960,000 1,224,000 984,000 (481,500) (368,400) $4,751,460 $4,008,900 Total assets 080,000 $966,600 Accounts payable Accrued expenses payable Dividends payable Common stock, $5 par 67,800 100,800 130,000 950,000 2,422,860 91,200 Retained earnings 2,391,900 Total liabilities and stockholders' equity $4,751,460 $4,008,900 The income statement for the year ended December 31, 20Y4, is as follows $4,512,000 2,352,000 $2,160,000 Cost of merchandise sold Gross profit Operating expenses: Depreciation expense Other operating expenses $113,100