XS Supply Company is developing its annual financial statements at December $31.$ The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized:

Current Year Previous Year

Balance Sheet at December $31$

Cash $ $35,650$ $ $30,750$

Accounts Receivable $37,00029,000$

Inventory $43,00039,000$

Equipment $136,000110,000$

Accumulated Depreciation$$Equipment $(32,000)(26,000)$

Total Assets $ $219,650$ $ $182,750$

Accounts Payable $ $38,000$ $ $28,000$

Salaries and Wages Payable $8501,150$

Notes Payable $($long$-$term$)47,00054,000$

Common Stock $94,60073,600$

Retained Earnings $39,20026,000$

Total Liabilities and Stockholders$$ Equity $ $219,650$ $ $182,750$

Income Statement

Service Revenue $ $130,000$

Cost of Goods Sold $75,000$

Other Expenses $41,800$

Net Income $ $13,200$

Additional Data:

Bought equipment for cash, $$26,000.$

Paid $$7,000$ on the long$-$term notes payable.

Issued new shares of stock for $$21,000$ cash.

No dividends were declared or paid.

Other expenses included depreciation, $$6,000$; salaries and wages, $$21,000$; taxes, $$7,000$; utilities, $$7,800.$

Accounts Payable includes only inventory purchases made on credit. Because there are no liability accounts relating to taxes or other expenses, assume that these expenses were fully paid in cash.