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 Accounts Receivable Inventory Equipment Accumulated Depreciation-Equipment $ 35,650 37,000 43,000 136,000 32,000 $219,650 $38,000 850 47,000 94,600 39,200 $219,650 $ 30,750 29,000 39,000 110,000 26,000 $182,750 $ 28,000 1,150 54,000 73,600 26,000 $182,750 Total Assets Accounts Payable Salaries and Wages Payable Note Payable (long-term) Common Stock Retained Earnings Total Liabilities and Stockholders Equity Income Statement Sales Revenue Cost of Goods Sold Other Expenses Net Income $130,000 75,000 41,800 $ 13,200 Additional Data: a. Bought equipment for cash, $26,000 b. Paid $7,000 on the long-term note payable C. Issued new shares of stock for $21,000 cash d. No dividends were declared or paid e. Other expenses included depreciation, $6,000; salaries and wages, $21,000; taxes, $7,000; utilities, $7,800 f 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