The income statement, balance sheets, and additional information for Virtual Gaming Systems are provided. VIRTUAL GAMING SYSTEMS Income Statement For the Year Ended December 31, 2021 Net sales Gain on sale of land Total revenues Expenses: Cost of goods sold Operating expenses Depreciation expense Interest expense Income tax expense Total expenses Net income $1,615,000 608,000 26,000 27,000 73,000 $2,530,000 3,500 2,533,500 2,349,000 $ 184,500 3 55 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments Land Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2021 2020 $ 265,120 71,700 $ 206,940 149,500 87,000 138,000 4,180 6,360 188.000 100,000 211,500 263,000 236,000 213,000 (132,500) (106,500) $ 993,500 $907,800 $ 31,500 $ 91,000 Interest payable 4,300 3,300 Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock 22,200 25,500 251,000 228,000 383,000 330,000 Retained earnings. 301,500 230,000 Total liabilities and stockholders' equity $ 993,500 $ 907,800 Additional Information for 2021: 1. Purchase additional investment in stocks for $88,000. 2. Sell land costing $51,500 for $55,000, resulting in a $3,500 gain on sale of land. 3. Purchase $23,000 in equipment by issuing a $23,000 long-term note payable to the seller. No cash is exchanged in the transaction. 4. Declare and pay a cash dividend of $113,000. 5. Issue common stock for $53,000. abled: Online Final For the Year Ended December 31, 2021 Cash Flows from Operating Activities: Net cash flows from operating activities Cash Flows from Investing Activities: Net cash flows from investing activities Cash Flows from Financing Activities: Net cash flows from financing activities Cash at the beginning of the period Cash at the end of the period Note: Noncash Activities 0 0 0 $ 0