Additional Information a. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash b. The only changes affecting retained earnings are net income and cash dividends paid. . New equipment is acquired for $63,600 cash. d . Received cash for the sale of equipment that had cost $54,600, yielding a $2,600 gain e . Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. f. All purchases and sales of inventory