Additional Information

a$.$ A $$35,000$ note payable is retired at its $$35,000$ carrying $($book$)$ value in exchange for cash.

b$.$ The only changes affecting retained earnings are net income and cash dividends paid.

c$.$ New equipment is acquired for $$93,000$ cash.

d$.$ Received cash for the sale of equipment that had cost $$78,000,$ yielding a $$8,700$ gain.

e$.$ Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement.

f$.$ All purchases and sales of inventory are on credit.