The comprehensive entry for this business summarizing the changes in assets and liabilities from its sales and expenses for the year is as follows:

For the business’s board of directors, prepare a schedule of changes in assets and liabilities that summarizes the effects on the business’s financial condition from its profit for the year.

Cash Accounts Receivable Inventory Prepaid Expenses $280,000 $825,000 $375,000 $25,000 Accounts Payable $955,000 Accrued Expenses Payable $475,000 Accumulated Depreciation $390,000 Owners' Equity - Retained Earnings $875,000