in for Purdue... Cleanliness Helps PC Courses and degre... Saved middlewar Help Save & Use the following information for the Problems below. (Algo) [The following information applies to the questions displayed below.] Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year. (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory. FORTEN COMPANY Income Statement For Current Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) $ 602,500 289,000 313,500 $ 136,400 24,750 161,150 Loss on sale of equipment Income before taxes (9,125) 143,225 Income taxes expense Net income 29,850 $113,375 Assets Cash Accounts receivable- Inventory Prepaid expenses FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year $ 55,900 71,810 281,656 1,250 $ 77,500 54,625 255,800 1,975 C