1. Reconstruct the balance sheet for 2016 and 2017 using a spreadsheet, and find the change in each account and each category balance (current assets, long-term assets, total assets, current liabilities, total liabilities, total owners equity, and total liabilities and owners equity) from 2016 to 2017. The balance sheet has the same accounts in both years. Verify that the change in the total assets equals the change in the total liabilities and owners equity.

2. Find the cash from assets for 2016 if the OCF for that year is $389,000. Note: Treat intangible assets as a capital spending item.

2016 Information
Cash	$23,000
Accounts receivable	$518,000
Inventory	$639,000
Total current assets	$1,242,000
Fixed assets	$4,387,000
Intangible assets	$465,000
Total assets	$5,085,000
Accounts payable	$419,000
Notes payable	$390,000
Long-term debt	$3,540,000
Common stock	$330,000

2017 Information
Cash	$26,000
Marketable securities	$58,000
Inventory	$910,000
Fixed assets	$4,975,000
Accumulated depreciation	$1,364,000
Intangible assets	$431,000
Notes payable	$210,000
Total current liabilities	$889,000
Common stock	$330,000
Retained earnings	$701,000
Total liabilities and owners equity	$5,832,000