Incomplete financial statements for ABC Company are as follows:

Income Statement
For the Year Ended December 31, 2012
Sales .............................................................................. $1,800,000
Less cost of goods sold ................................................................ A
Gross margin .................................................................... $900,000
Less operating expenses .............................................................. B
Net operating income .................................................................... C
Less interest expense ........................................................ $45,000
Net income before taxes .............................................................. D
Less income taxes (40%) ............................................................... E
Net income ..................................................................................... F

The following additional information is available about the company:
(a) Selected financial ratios computed from the preceding statements are given as follows:

• Current ratio                                                    2.40 to 1
• Quick (acid€test) ratio                                      1.12 to 1
• Average collection period                                24.3333 days
• Inventory turnover                                           6.0 times
• Debt€to€equity ratio                                          0.875 to 1
• Earnings per share                                          $4.05
• Return on total assets                                     14%

(b) All sales during the year were on account.
(c) The interest expense on the income statement relates to the bonds payable; the amount of bonds outstanding did not change throughout the year.
(d) There were no issues or retirements of common stock during the year. Required: Compute the missing amounts on the company€™s financial statements. Income Statement:

Balance Sheet:

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Balance Sheet December 31, 2012 January 1, 2012 Current assets: Cash. $160,000 $280,000 Accounts receivable, net.. Inventory. Total current assets.. 14 Plant and equipment, net. 15 $1,200,000 Total assets. $250,000 Current liabilities Bonds payable, 10%... Total liabilities Stockholder's equity. Common stock, $2.50 par value. Retained earnings. Total stockholders' equity. 10 Total liabilities and stockholders' equity Nllealt