Teal Mountain Corporation$$s balance sheet at December $31,2024,$ is presented below.

Teal Mountain Corporation

Balance Sheet

December $31,2024$

Cash $$54,000$ Accounts payable $$24,750$

Inventory $55,350$ Interest payable $4,500$

Prepaid insurance $10,080$ Bonds payable $90,000$

Equipment $68,400$ Common stock $45,000$

Retained earnings $$23,580$

$$187,830$ $$187,830$

During $2025,$ the following transactions occurred. Teal Mountain uses a perpetual inventory system.

$1.$ Teal Mountain paid $$4,500$ interest on the bonds on January $1,2025.$

$2.$ Teal Mountain purchased $$433,980$ of inventory on account.

$3.$ Teal Mountain sold for $$864,000$ cash inventory which cost $$475,200.$ Teal Mountain also collected $$51,840$ sales

taxes.

$4.$ Teal Mountain paid $$414,000$ on accounts payable.

$5.$ Teal Mountain paid $$4,500$ interest on the bonds on July $1,2025.$

$6.$ The prepaid insurance $($$$10,080)$ expired on July $31.$

$7.$ On August $1,$ Teal Mountain paid $$18,360$ for insurance coverage from August $1,2025,$ through July $31,2026.$

$8.$ Teal Mountain paid $$30,600$ sales taxes to the state.

$9.$ Paid other operating expenses, $$163,800.$

$10.$ Redeemed the bonds on December $31,2025,$ by paying $$86,400$ plus $$4,500$ interest.

$11.$ Issued $$162,000$ of $8\%,10-$year bonds on December $31,2025,$ at $103.$ The bonds pay interest every June $30$ and

December $3$