The following are the financial statements of Nosker Company.

The following are the financial statements of Nosker Company. OSKER COMPANY Comparative Balance Sheets December 31 ssets 2017 2016 Cash $38,000 $20,000 Accounts receivable 30,000 14,000 27,000 Inventory 20,000 60,000 78,000 Equipment Accumulated depreciation-equipment 29 000 24.000) $126,000 $108,000 Tota ities and Stockho Equ uit Accounts payable $24,000 15,000 Income taxes payable 7000 8,000 27,000 33,000 Bonds payable Common stock 14 000 18 000 Retained earnings 50,000 38 000 $126,000 $108,000 Tota OSKER COMPANY Income Statement For the Year Ended December 31, 2017 Sales revenue $242,000 Cost of goods sold 175.000 Gross profit 67000 Operating expenses 24,000 Income from operati 43 000 Interest expense 000 Income before income taxes 40,000 Income tax expense 8r000 Net income $32,000 Additional data: 1. Dividends declared and paid were $20,000 2. During the year equipment as sold for $8,500 cash. This equipment cost $18,000 originally and had a book value of $8,500 at the time of sale. 3. All depreciation expense, $14,500, is in the operating expenses 4. All sales and purchases are on account. Further analysis reveals the following. 1. Accounts payable pertain to merchandise suppliers. 2. All operating expenses except for depreciation were paid in cash