Rainbow Company$$s income statement and comparative balance sheets follow.

RAINBOW COMPANY

Income Statement

For Year Ended December $31,$ Year $8$

Sales $$525,000$

Dividend income $10,500$

Total revenue $535,500$

Cost of goods sold $$308,000$

Wages and other operating expenses $91,000$

Depreciation expense $27,300$

Patent amortization expense $4,900$

Interest expense $9,100$

Income tax expense $30,800$

Loss on sale of equipment $3,500$

Gain on sale of investments $(2,100)472,500$

Net income $$63,000$