The changes in Northrup Corporation's balance sheet account balances for last year appear below. Increases (Decreases) Asset and Contra-Asset Accounts: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Long-term investments Property, plant and equipment Accumulated depreciation Liability and Equity Accounts: Accounts payable Accrued liabilities Income taxes payable Bonds payable Common stock Retained earnings $ 4,000 $ (4,000) $ (2,000) $ 2,000 $ 40,000 $ 25,000 $ 68,000 $ (6,000) $ 8,000 $ (8,000) (70,000) $ 10,000 $ 63,000 The company's income statement for the year appears below Income Statement Sales $980,000 Cost of goods sold 540,000 Gross margin 440,000 Selling and administrative expense 310,000 Net operating income 130,000 Income taxes 39,000 $ 91,000 Net income L The company secured and paid $28.000 in cam avidends dong the year it at not pose of any property, plant, and equent during the ye the company sine drect method to detect rowed by sed e operating activities On the statement of cash Sows, the cost of goods soit ached to a cash bas wild se MUNCHIE $600 $530,000 OOOO O $540,000 Cost of goods sold Gross margin $980,000 540,000 440,000 Selling and administrative expense Net operating Income Income taxes Net income 310,000 130,000 39,000 $91,000 The company declared and paid $28,000 in cash dividends during the year it and not depose of any property plant and they ag operating actives On the statement of cash flows the cost of goods sold adjusted to a c a would be Mumpre Ch O $540,000 $536,000 O $544,000 $540,000