The bookkeeper for Max Inc. has prepared the following balance sheet as at December 31, 2022: Max Inc. Balance Sheet December 31, 2022

Cash $ 510,000 Current Liabilities $ 1,050,000 Accounts Receivable (net) 387,000 Long-term Liabilities 1,800,000 Inventories 240,000 Shareholders Equity 657,000 Investments 210,000 Land 600,000 Building (net) 1,300,000 Equipment (net) 200,000 Tradename (net) 60,000 Total $3,507,000 Total $3,507,000 The following additional information is provided: 1. The cash balance includes: Petty cash fund $ 1,200 T-bill 24,000 Cash advance to employee, payable on demand 6,000 Saving Account at TD Bank 15,000 Money market fund 30,000 Chequing account at the Bank of Montreal 442,200 Bank overdraft at the Scotia Bank (no other accounts are held at this bank) BankCIBC) (8,400) Total $510,000

2. The allowance for doubtful accounts $61,200. 3. The net realizable value of the inventory that is included in the Balance Sheet is $210,000. In addition, inventories do not include: $120,000 of merchandise that was in transit at December 31. The inventory was sold to ONG Inc. with terms f.o.b. destination point (the net realizable value of this inventory was $180,000). $60,000 was shipped from Park Inc. to Max for consignment. The net realizable value for this inventory is $90,000. 4. The investments section includes the following: An interest bearing note receivable of $30,000 that was issued on May 1st, 2022 bearing interest at 4% and is due on May 1, 2023 Long-term FV-OCI investment $108,000 carrying value (fair value $90,000 at December 31,2022). Management plans on holding on to these investments for a number of years. FV-NI Investment 1,000 common shares of LA Inc. purchased at $72.00 per share (fair value $75.00 per share at December 31, 2022). Max expected to sell the shares as soon as the market price increases more next year. 5. The land balance includes: land used for operations and recorded at its cost of $600,000 (the appraisal value of the land in 2022 was $1,800,000). The company doesnt use the revaluation model. 6. The building originally cost $3,400,000 and the equipment originally cost $450,000. Depreciation for 2022 has already been recorded. Meridian Credit Union has pledged the building as security for their $1,800,000 loan to Max Inc. (collateral), the loan bears annual interests at 5%. 7. The Tradename originally cost $96,000 and is being amortized over 8 years on a straight-line basis. Amortization for 2022 had already been recorded. 8. On September 1st, 2022 the company decided to dispose of their Montreal division. The company estimates that can sell the equipment for $110,000 less selling costs of $5,000. Once this equipment is sold the company will no longer have any equipment. The revenue from the division was $200,000 and the expenses were $250,000 for 2022.

Based on any changes to the value of the assets what account would be included in the Statement of Earnings and what section would each of the items be included in? Do not include Depreciation Expense, Amortization Expense or Bad Debt Expense?