Sales revenue		$441,000
Cost of goods sold		202,200
Gross profit		238,800
Operating expenses:
Salaries expense	$76,400
Depreciation expense- plant assets	14,200
Other operating expenses	10,500
Total operating expenses		101,100
Operating income		137,700
Other revenues and (expenses)
Interest revenue	8,800
Interest expense	(21,600)
Total other revenues and (expenses)		(12,800)
Net income before income taxes		124,900
Income tax expense		19,500
Net income		$105,400

1. Net Cash Prov. by Op. Act. $132,700

The 2016 income statement and comparative balance sheet of McKnight, Inc. follow:

MCKNIGHT, INC

INCOME STATEMENT

YEAR ENDEN DECEMBER 31,2016