Current Attempt in Progress Presented here are the financial statements of Coronado Company. CORONADO COMPANY Comparative Balance Sheets December 31 Assets 2022 2021 Cash $37,500 $19,100 Accounts receivable 33,000 20,000 Inventory 30,700 20,200 Property, plant, and equipment 59,700 77,100 Accumulated depreciation (29,900) (23,100) Total $131,000 $113,300 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total $28,100 $ 17,000 7,200 8,300 27,800 33,000 19,000 14,800 48,900 40,200 $131,000 $113,300 CORONADO COMPANY Income Statement For the Year Ended December 31, 2022 Sales revenue $241,900 Cost of goods sold 177,000 Gross profit 64,900 Selling expenses $18,150 Administrative expenses 6,050 24,200 Income from operations 40,700 Interest expense 3,600 Income before income taxes 37,100 Income tax expense 7,420 Net income $29,680 Additional data: 1. Depreciation expense was $17,400. 2. Dividends declared and paid were $20,980. 3. During the year, equipment was sold for $6,800 cash. This equipment originally cost $17,400 and had accumulated depreciation of $10,600 at the time of sale. 4. Bonds were redeemed at their carrying value. 5. Common stock was issued at par for cash. Further analysis reveals the following. 1. Accounts payable pertain to merchandise suppliers. 2. All operating expenses except for depreciation were paid in cash. 3. All depreciation expense is in the selling expense category. 4. All sales and inventory purchases are on account.