the first picture iscompartive balance sheet and the second is the income statement

20X1 20x2 2 Current assets: 3 Cash 4 Accounts receivable $237,000.00 $746,000.00 297,000.00 $638,500.00 $585,000.00 317,000.00 5 Inventories 6 Long-term assets: 7 Plant and equipment Accumulated depreciation * 2,194,000.00 (1,194,000.00) 997,000.00 $3,277,000.00 2,156,000.00 (1.254,000.00) 1,436,500.00 $3,879,000.00 9 Land 10 Total assets 11 Current liabilities: $702,000.00 $517,000.00 0. 00 12 Wages payable 13 Long-term liabilities: 14 Bonds payable 15 Mortgage payable 16 Total liabilities 17 Stockholders' equity 18. Common stock 3 84,000.00 0.00 $901,000.00 $802,090.00 19 Paid-in capital in excess of par 374,500.00 278,500.00 1,822,000.00 2,475,000.00 $3,277,000.00 374,500.00 278,500.00 2,325,000.00 2,978,000.00 $3,879,000.00 20 Retained earnings 21 Total stockholders' equity 2 Total liabilities and stockholders' equity Previous For the Year Ended December 31, 20X2 1 Revenues $3,004,000.00 2 Gain on sale of equipment 3 Cost of goods sold 4 Depreciation expense 103,000.00 (1,916,000,00) (266,000.00) (12,500.00) $912,500.00 5 Interest expense 6 Net income During the year, Swasey Company sold equipment with a book value of $277,500 for $380,500 (original purchase cost of $483,500). Now equipment was purchased Statement of Cash Flows For the Year Ended December 31, 20X2 1 Cash flows from operating activities: 2 Net income $912,500.00 3 Add (deduct) adjusting items: 266,000.00 4 Depreciation expense 5 Gain on sale of equipment 6 Decrease in accounts receivable (103,000.00) 7 Increase in inventories 8 Decrease in wages payable 9 Net cash from operating activities 10 Cash flows from investing activities: 11 Sale of equipment 12 Purchase of equipment 13 Purchase of land 14 Net cash from investing activities 15 Cash flows from financing activities: 16 Payment of dividends 17 Issuance of bonds payable 18 Payment of mortgage 19 Net cash from financing activities 20 Net increase in cash