Presented below are the 2018 income statement and comparative balance sheets for Santana Industries SANTANA INDUSTRIES Income Statement For the Year Ended December 31, 2018 ($ in thousands) Sales revenue Service revenue $ 14,850 4,000 Total revenue $18,850 Operating expenses: Cost of goods sold Selling General and administrative 7,500 2,700 1,800 12,000 6,850 230 6,620 2,800 $ 3,820 Total operating expenses Operating income Interest expense Income before income taxes Income tax expense Net income Dec. 31, Dec. 31, 2018 2017 Balance Sheet Information ( in thousands) Assets Cash Accounts receivable Inventory Prepaid rent Plant and equipment $ 7,650 2,470 2,500 3,300 360 12,600 3,100 4,600 180 15,100 Less: Accumulated depreciation (5,400 (4,800) Total assets $25,230 $16,430 Liabilities and Shareholders' Equity: Accounts payable Interest payable Deferred service revenue Income taxes payable Loan payable (due 12/31/2020) Common stock Retained earnings $ 2,000 130 860 580 5,600 10,300 1,400 630 860 10,300 5,760 ,40 Total liabilities and shareholders' equity $25,230 $16,430