Required information [The following information applies to the questions displayed below.] Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory. Sales Cost of goods sold Gross profit FORTEN COMPANY Income Statement For Current Year Ended December 31 Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) $ 617,500 292,000 325,500 $ 139,400 27,750 167,150 Loss on sale of equipment Income before taxes Income taxes expense Net income Assets FORTEN COMPANY Comparative Balance Sheets December 31 (12,125) 146,225 34,050 $112,175 Current Year Prior Year Alort Required information [The following information applies to the questions displayed below.] Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory. Sales Cost of goods sold Gross profit FORTEN COMPANY Income Statement For Current Year Ended December 31 Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) $ 617,500 292,000 325,500 $ 139,400 27,750 167,150 Loss on sale of equipment Income before taxes Income taxes expense Net income Assets FORTEN COMPANY Comparative Balance Sheets December 31 (12,125) 146,225 34,050 $112,175 Current Year Prior Year Alort