Orca Industries Below are the two most recent balance sheets and most recent income statement for Orca Industries. The company has an effective tax rate of 35%. Assume all sales are made on credit. Liabilities and Stockholders' Equity: Accounts payable $5,000$6,000 Deferred revenues 1,0002,000 Long-term note payable 10.00010.000 Less: Discount on note payable (800)(1,000) Common stock 12,0006,000 Retained earnings 4.8003.500 Total liabilities and stockholders' equity $32,000$26.500 Income Statement For the year ended December 31, 2011 Revenues Cost of goods sold Depreciation expense Interest expense Bad debt expense (2,000) Other expense (including income taxes) (2,000) Net income $2.000