The financial statements of Granger Inc. appear below: GRANGER INC. Comparative Balance Sheet December 31 Assets Cash Accounts receivable Merchandise inventory Property, plant, and equipment. Accumulated depreciation Total Liabilities and Shareholders' Equ Accounts payable Income taxes payable Bonds payable Common shares, 10,000 shares issued Retained earnings Total GRANGER INC. Income Statement Year Ended December 31, 2011 Sales Cost of goods sold Gross profit Operating expenses Profit from operations Interest expense Profit before income taxes Income tax expense Profit 201 2010 27.000 23,000 31,000 34.000 15,000 32,000 50,000 78,000 (24,000) 0.000 $120,000 000 20,000 23,000 10,000 8.000 33,000 7,000 24,000 39,000 44,000 38.000 $120,000 000 $470,000 00.000 70,000 36.000 34,000 4.000 30,000 10,000 0.000