Used the information and fill out the income statement and balance sheet.

At the end of 2015, the Zedo Company has $75,000 in accumulated depreciation and $45,000 in retained earnings. Sales Notes Payable Tax Rate Gross Fixed Assets Total Current Liabilities Interest Expense Inventory Turnover (COGS) Accounts Payable Current Ratio Total Liabilities Net Income DSO (365 days) Dividends Cost of Sales 2016 $1,200,000 50,000 40% $1,200,000 300,000 60,000 6 times 160,000 1.2 times 600,000 33,600 42.58 days 14,000 70% of sales 2017 $1,600,000 30,000 40% $1,500,000 400,000 80,000 3.11111 times 140,000 1.6 times 880,000 54,000 36.5 days 18,000 70% of sales 2016 2017 BALANCE SHEET Assets 2015 Cash Accounts Receivable Inventory Total Current Assets Gross Fixed Assets Less: Accumulated Depreciation Net Fixed Assets Total Assets 2015 2016 2017 Liabilities and Equity Accounts Payable Notes Payable Accruals Total Current Liabilities Long-term Debt Total Liabilities Common Stock Retained Earnings Total Equity Total Liabilities and Equity 2016 1,200,000 840,000 360,000 2017 1,600,000 1,120,000 480,000 INCOME STATEMENT 2015 Sales less: Cost of Sales @70% of Sales EBITDA less: Depreciation EBIT less: Interest EBT less: Taxes @ 40% Net Income less: Dividends Additions to Retained Earnings