[The following information applies to the questions displayed below.] The general ledger of the Karlin Company, a consulting company, at January 1, 2016, contained the following account balances: Account Title Cash Accounts receivable Equipment Accumulated depreciation Salaries payable Common stock Retained earnings Debits Credits 32,900 11,000 17,000 5,100 6,500 42,000 7,300 Total 60,900 60,900 The following is a summary of the transactions for the year: a. Sales of services, $106,000, of which $31,800 was on credit. b. Collected on accounts receivable, $22,600. C. Issued shares of common stock in exchange for $8,500 in cash. d. Paid salaries, $38,500 (of which $6,500 was for salaries payable). e. Paid miscellaneous expenses, $20,800. f. Purchased equipment for $11,000 in cash. g. Paid $2,525 in cash dividends to shareholders. 1. Accrued salaries at year-end amounted to $770. 2. Depreciation for the year on the equipment is $1,700