Required information [The following information applies to the questions displayed below.] The following financial statements and additional information are reported. IKIBAN INCORPORATED Comparative Balance Sheets At June 30 Assets Cash Accounts receivable, net Prepaid expenses Inventory Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Wages payable $ 362,700 $ 35,000 7,000 2021 2020 $ 101,500 $ 54,000 80,000 73,800 61,000 101,500 5,400 7,400 260,700 223,900 134,000 (32,000) $ 334,900 $ 45,000 17,000 125,000 (14,000) Income taxes payable 4,400 5,800 Total current liabilities Notes payable (long term) Total liabilities Equity 46,400 67,800 40,000 70,000 86,400 137,800 Common stock, $5 par value Retained earnings 240,000 170,000 36,300 27,100 Total liabilities and equity $ 362,700 $ 334,900