The comparative financial statements prepared at December 31, 2017, for Pinnacle Plus showed the following summarized data: Income Statement Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Interest Expense Income before Income Tax Expense Income Tax Expense (30%) Net Income Balance Sheet Cash Accounts Receivable, Net Inventory Property and equipment, Net Total Assets Accounts Payable Income Tax Payable Note Payable, Long-Term Total Liabilities 2017 2016 $126,000 $115,000 58,400 54,400 67,600 60,600 40,800 37,800 3,400 3,400 23,400 19,400 7,020 5,820 $ 16,380 $13,580 $48,091 $14,980 31,000 40,000 33,000 32,000 93,000 83,000 $195,091 $179,980 $31,871 $ 27,640 940 440 34,000 34,000 66,811 62,080 91,000 91,000 37,280 26,900 Total Liabilities and Shareholders' Equity $195,091 $179,980 Contributed Capital (9,100 shares) Retained Earningst One-half of all sales are on credit. *During 2017, cash dividends amounting to $6,000 were declared and paid.