MARZANO COMPANY Comparative Balance Sheets December 31 Assets 2017 Cash $ 63,000 Accounts receivable 88,000 Inventory 167,000 Land 80,000 Equipment 265,000 Accumulated depreciation-equipment (66,000) Total $597,000 Change 40,000 12.000 O, I or F Step #3 0 2016 $22,000 76,000 189,000 100,000 200,000 (32,000) $555,000 122,000) o (20, 000) I 65.000 I 34,000 0 0 Liabilities and Stockholders' Equity Accounts payable Bonds payable Common stock ($1 par) Retained earnings Total $34,000 150,000 221,000 192,000 $597,000 $43,000 (9000) 200,000 (50,000) 174,000 (47, 000) 138,000 $555,000 54,000 Mixed 0++ Additional information: 1. Net income for 2017 was $103,000. 2. Depreciation expense was $34,000. 3. Cash dividends of $49,000 were declared and paid. 4. Bonds payable amounting to $50,000 were redeemed for cash $50,000. 5. Common stock was issued for $47,000 cash. 6. No equipment was sold during 2017. 7. Land was sold for its book value. ructions: Prepare a statement of cash flows using the indirect method