Balance Sheet
Current Assets							2011		2012
Cash							$ 2,892.00		$ 792.00
Accounts receivable trade							$ 3,139.00		$ 4,028.00
Inventories:
Bulk whiskey in barrels at average							$ 9,914.00		$ 11,067.00
Production cost (no excise tax included)
Bottles and cased whiskey, 175,000 gallons							$ 4,331.00		$ 4,331.00
In each year at an average cost of $24.75 per
Gallon (including excise tax)
Inventory in process							$ 222.00		$ 222.00
Raw materials and supplies							$ 880.00		$ 519.00
Prepaid expenses							$ 970.00		$ 854.00
Total current assets							$ 22,348.00		$ 21,813.00
Accumulated depreciation
Fixed Assets	Cost			Net
	2011	2012	2011	2012	2011	2012
Land	$ 66.00	$ 66.00			$66 $66
Building	$ 4,202.00	$ 4,642.00	$ 1,760.00	$ 1,877.00	$ 2,442.00	$ 2,765.00
Factory equipment	158 158	$ 158.00	$ 57.00	$ 83.00	$ 101.00	$ 75.00
Warehouse equipment	$ 77.00	$ 141.00	$ 53.00	$ 75.00	$ 24.00	$ 66.00
							$ 2,663.00		$ 2,972.00
Total Assets							$ 24,981.00		$ 24,785.00
Current Liabilities
Short-term notes payable to banks							$ 2,420.00		$ 3,300.00
Current maturities of long-term debt							$ 506.00		$ 1,062.00
Accounts payable							$ 2,330.00		$ 1,175.00
Federal excise taxes payable							$ 902.00		$ -
Total current liabilities							$ 6,158.00		$ 5,337.00
Noncurrent Liabilities
Notes payable (9 %) secured by deed of trust on warehouse property							$ 7,700.00		$ 9,020.00
Stockholders Equity
Common stock held principally by members of the Anson family							$ 3,960.00		$ 3,960.00
Earnings retained in the business							$ 7,163.00		$ 6,268.00
Total liabilities and capital							$ 24,981.00		$ 24,785.00
Income Statement							2011		2012
Net Sales:
Sale of whiskey to wholesalers							$ 46,200.00		$ 46,200.00
Cost of goods sold:
Federal excise taxes on barrels sold							$ 34,766.00		$ 34,766.00
Cost of product charges to sales:
Bulk whiskey inventory July 1, of each year 172,000 barrels							$ 9,914.00		$ 9,914.00
Plus: Cost of whiskey produced to inventory (43,000							$ 2,478.00		$ 3,631.00
barrels in 2011 and 63,000 barrels in 2012 at an average)							$ 12,392.00		$ 13,545.00
cost of $57.63 per 50-gallon barrel in both years
Less: Bulk whiskey inventory June 30 of respective							$ 9,114.00	$ 2,478.00	$ 11,067.00	$ 2,478.00
year (172,000 and 192,000 barrels, at average production cost.)
Cased goods and in process July 1, of respective year							$ 4,554.00		$ 4,554.00
Cased goods and in process June 30, of respective year							$ 4,554.00		$ 4,554.00
Other costs charged to Cost of Goods Sold:
Cost of barrels used during year at $69.30 per barrel							$ 2,980.00		$ 4,336.00
Occupancy costs: factory building							$ 291.00		$ 327.00
Rented building							$ 299.00		$ 629.00
Warehouse labor and warehouse supervisor							$ 207.00		$ 367.00
Labor and supplies expense of chemical laboratory							$ 150.00		$ 183.00
Depreciation: factory equipment							$ 26.00		$ 26.00
Warehouse equipment							$ 13.00		$ 22.00
Cost of government supervision and bonding facilities							$ 7.00		$ 15.00
Cost of bottling liquor (labor, glass and miscellaneous supplies)							$ 504.00	$ 447.00	$ 504.00	$ 6,439.00
Total cost of goods sold							$ 41,721.00		$ 43,683.00
Gross profit from operations							$ 4,479.00		$ 2,517.00
Less: Selling and advertising expense							$ 1,725.00		$ 2,061.00
Administrative and general expense							$ 1,100.00	$ 2,825.00	$ 1,351.00	$ 3,412.00
Net profit (loss)							$ 1,654.00		$ (895.00)

Assuming Anson decided to charge barrel costs (but not warehousing and aging costs) to inventory, what 2012 income statement and balance sheet items would change, and what would the new amounts be? (assume no change in work-in-progress inventory.)