The income statement shown below was sent by Samuel Cox, owner of Cox Video Center, to several of his creditors who had asked for financial statements. The business is a sole proprietorship that sells audio and other electronic equipment. One of the creditors looked over the income statement and reported that it did not conform to generally accepted accounting principles.

Cox Video Center Income Statement December 31, 2016
Cash Collected from Customers				$	688,000
Cost of Goods Sold
Merchandise Inventory, Jan. 1	$	77,500
Payments to Suppliers		440,500
		518,000
Less Merchandise Inventory, Dec. 31		87,500
Cost of Goods Sold					430,500
Gross Profit on Sales					257,500
Operating Expenses
Salaries of Employees	$	80,400
Salary of Owner		31,800
Office Expense		30,900
Depreciation Expense		20,600
Income Tax of Owner		7,900
Payroll Taxes Expense		8,900
Advertising and Other Selling Expenses		22,800
Repairs Expense		11,900
Insurance Expense		4,300
Interest Expense		11,900
Utility and Telephone Expense		18,400
Legal and Audit Expense		3,400
Miscellaneous Expense		28,400
Total Expenses					281,600
Net Loss from Operations					(24,100	)
Increase in Appraised Value of Land during Year					27,000
Net Income				$	2,900

The following additional information was made available by Cox.
a.	On January 1, 2016, accounts receivable from customers totaled $26,600. On December 31, 2016, the receivables totaled $32,900.
b.	No effort has been made to charge off worthless accounts. An analysis shows that $1,850 of the accounts receivable on December 31, 2016, will never be collected.
c.	The beginning and ending merchandise inventories were valued at their estimated selling price. The cost of the ending inventory is determined to be $48,400, and the cost of the beginning inventory is determined at $44,700.
d.	On January 1, 2016, suppliers of merchandise were owed $39,100, while on December 31, 2016, these debts were $45,325.
e.	The owner paid himself a salary of $2,650 per month from the funds of the business and charged this amount to an account called Salary of Owner.
f.	The owner also withdrew cash from the firms bank account to pay himself $4,950 interest on his capital investment. This amount was charged to Interest Expense.
g.	A check for $7,900 to cover the owners personal income tax for the previous year was issued from the firms bank account. This was charged to Income Tax of Owner.
h.	Depreciation on assets was computed at 8 percent of the gross profit. An analysis of assets showed that the original cost of the equipment and fixtures was $64,200. Their estimated useful life is 12 years with no salvage value. The building cost $150,250. Its useful life is expected to be 25 years with no salvage value.
i.	Included in Repairs Expense was $6,650 paid on December 22 for a new parking lot completed that day.
j.	The increase in land value was based on an appraisal by a qualified real estate appraiser.

Prepare an income statement in accordance with generally accepted accounting principles.