The income statement of Larkspur, Inc. is presented here. Larkspur, Inc. Income Statement For the Year Ended November 30, 2022 Sales revenue $7,522,100 Cost of goods sold Beginning inventory $1,969,400 Purchases 4,492,900 Goods available for sale 6,462,300 Ending inventory 1,621,200 Total cost of goods sold 4,841,100 Gross profit 2,681,000 Operating expenses Selling expenses 442,000 Administrative expenses 670,800 1,112,800 Net income $1,568,200 Additional information: 1. Accounts receivable decreased $408,200 during the year, and inventory decreased $348,200. 2. Prepaid expenses increased $166,800 during the year. 3. Accounts payable to suppliers of inventory decreased $346,900 during the year. 4. Accrued expenses payable decreased $109,600 during the year. 5. Administrative expenses include depreciation expense of $106,100.

Larkspur, Inc. Statement of Cash Flows (Partial) - Indirect Method $ Adjustments to reconcile net income to $