Selected year-end financial statements of Cabot Corporation follow. (All sales were on credit; selected balance sheet amounts at December 31, 2014, were inventory, $55,900; total assets, $179,400; common stock, $87,000; and retained earnings, $42,844.) CABOT CORPORATION Income Statement For Year Ended December 31, 2015 Sales Cost of goods sold $452,600 298,350 Gross profit Operating expenses Interest expense 154,250 99,100 4,400 Income before taxes Income taxes 50,750 20,444 Net income $ 30,306 CABOT CORPORATIONN Balance Sheet December 31, 2015 Assets Cash Short-term investments Accounts receivable, net Notes receivable (trade)* Merchandise inventory Prepaid expenses Plant assets, net $12,000 8,600 31,800 5,000 34,150 2,600 153,300 Liabilities and Equity Accounts payable Accrued wages payable Income taxes payable Long-term note payable, secured $15,500 3,000 4,400 by mortgage on plant assets Common stock 64,400 87,000 73,150 Retained earnings Total assets $247,450 Total liabilities and equity $247,450 * These are short-term notes receivable arising from customer (trade) sales