Required information [The following information applies to the questions displayed below.] Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended December 31 2021 Sales Cost of goods sold Gross profit Selling expenses Administrative expenses Total expenses Income before taxes Income tax expense Net income $ 555,271 334,273 2020 $ 425,383 2019 $ 295,200 269,693 220,998 155,690 188,928 106,272 78,848 58,703 38,966 49,974 37,434 24,502 128,822 96,137 63,468 92,176 59,553 42,804 17,145 12,208 8,689 $ 75,031 $ 47,345 $ 34,115 KORBIN COMPANY Comparative Balance Sheets. Assets Current assets. Long-term investments Plant assets, net Total assets Liabilities and Equity Current liabilities Common stock Other paid-in capital Retained earnings December 31 2021 2020 2019 $ 61,727 0 116,418 $ 41,314 $ 55,227 1,100 105,570 4,560 62,818 $ 178,145 $ 147,984 $ 122,605 $ 26,009 66,000 $ 22,050 $ 21,456 48,000 8,250 77,886 66,000 8,250 51,684 5,333 47,816 $ 122,605 Total liabilities and equity $ 178,145 $ 147,984