Selected balance sheet information and the income statement for Fountainhead Corporation for the current year are presented below. Selected Balance Sheet Accounts Prior Year Current Year 29,000 $20,000 Accounts Receivable Merchandise Inventory 40,000 44,000 3,000 23,000 30,000 Prepaid Rent Accounts Payable 9,000 Salaries and Wages Payable 6,000 Income Statement $600,000 Sales Revenue Expenses: 340,000 Cost of Goods Sold 40,000 Depreciation Expense 60,000 Salaries Expense 24,000 Rent Expense 24,000 Insurance Expense 22,000 Interest Expense 20,000 Utilities Expense 70,000 Net Income