The financial statements for Castile Products, Inc., are given below: Castile Products, Inc. Balance Sheet December 31 Assets Current assets Accounts receivable, net Merchandise inventory Prepaid expenses $ 24,000 260,000 320,000 7,000 Total current assets Property and equipment, net 611,000 860,000 Total assets $1,471,000 Liabilities and Stockholders' Equity Liabilities: $ 260,000 Current liabilities Bonds payable, 11% 310,000 570,000 $ 140,000 Total liabilities Stockholders' equity: Common stock, $5 par value Retained earnings 761,000 901,000 $1,471,000 Total stockholders' equity lotal liabilities and equity