The following changes took place last year in Pavolik Company's balance sheet accounts Liabilities and Equity Accounts Asset and Contra-Asset Accounts 15 D Accounts payable 47 Cash 19 l Accrued liabilities 19 D Accounts receivable 48 D ncome taxes payable 24 l Inventory 14 I Bonds payable 164 l Prepaid expenses 16 D Common stock 76 D Long-term investments Property, plant, and equipment 320 l Retained earnings 67 67 I Accumulated depreciation D Decrease ncrease Long-term investments that had cost the company $16 were sold during the year for $36, and land that had cost $35 was sold for $19. In addition, the company declared and paid $13 in cash dividends during the year. Besides the sale of land, no other sales or retirements of plant and equipment took place during the year. Pavolik did not retire any bonds during the year or issue any new common stock. The company's income statement for the year follows: 870 Sales Cost of goods sold 376 Gross margin 494 Selling and administrative expenses 370 Net operating income 124 Nonoperating items: (16) Loss on sale of land Gain on sale of investment 20 Income before taxes 128 Income taxes 48 80 Net income The company's beginning cash balance was $118 and its ending balance was $103