The financial statements of Sean Seymor Company appear below:

The following additional data were provided:
1. Dividends of \(\$ 12,000\) were declared and paid.
2. During the year equipment was sold for \(\$ 10,000\) cash. This equipment cost \(\$ 15,000\) originally and had a book value of \(\$ 10,000\) at the time of sale.
3. All depreciation expense, \(\$ 11,000\), is in the selling expense category.
4. All sales and purchases are on account.
5. Additional equipment was purchased for \(\$ 7,000\) cash.

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SEAN SEYMOR COMPANY Comparative Balance Sheet December 31 Assets 1996 1995 Cash Accounts receivable Merchandise inventory $ 26,000 $13,000 18,000 14,000 38,000 35,000 Property, plant, and equipment Less accumulated depreciation $70,000 $78,000 (30,000) 40,000 (24,000) 54,000 Total $122,000 $116,000