Question 3 of 3 -/50 Presented below are the financial statements of Skysong Ltd. Skysong Ltd. Comparative Statements of Financial Position December 31 Assets 2020 2019 E55.200 71.760 Equipment Accumulated depreciation-equipment Inventory (26,680) 080) 18,400 27.600 Accounts receivable 30.360 12 880 Cash 34040 18.400 Total 120.520 99,360 Equity and Liabilities Share capital-ordinary 16,560 E12,880 Retained earnings 46,000 34960 Bonds payable 24,840 30 360 - 750 Equity and Liabilities Share capital-ordinary Retained earnings 16.560 12.880 46,000 34960 Bonds payable 24,840 30,360 Accounts payable 26,680 13,800 Income taxes payable 6.440 1360 Total 120.520 99,360 Rajesh Ltd. Income Statement For the Year Ended December 31, 2020 Sales revenue 222,640 161,000 Cost of goods sold Gross profit Operating expenses 61,640 22.080 Question 3 of 3 > - / 50 = Cost of goods sold 161.000 Gross profit 61.640 22.080 Operating expenses Income frin operations 39.560 Interest expense 2.760 Income before income taxes 36,800 Income tax expense 7,360 Net income E29.440 Additional data: 1 Depreciation expense is 12,236 2 Dividends declared and paid were 18.400. 3. During the year, equipment was sold for E8.924 cash. This equipment cost 16.560 originally and had accumulated depreciation of 4,600 at the time of sale. Question 3 of 3 - / 50 = Cost of goods sold 161.000 Gross profit 61.640 22.080 Operating expenses Income frin operations 39.560 Interest expense 2.760 Income before income taxes 36,800 Income tax expense 7,360 Net income E29.440 Additional data: 1 Depreciation expense is 12,236 2 Dividends declared and paid were 18.400. 3. During the year, equipment was sold for E8.924 cash. This equipment cost 16.560 originally and had accumulated depreciation of 4,600 at the time of sale. Question 3 of 3