Tanglewood, Inc. uses the direct method to prepare its statement of cash flows. Refer to the following financial statement information for the year ended December 31, 2024: Tanglewood, Inc. Comparative Balance Sheet December 31, 2024 and 2023 Cash Accounts Receivable Merchandise Inventory PP&E, net Total Assets Accounts Payable Accrued Liabilities Long-term Notes Payable Total Liabilities Common Stock Retained Earnings Treasury Stock Total Stockholders' Equity Total Liabilities and Stockholders' Equity Tanglewood, Inc. Income Statement 2024 2023 $33,400 $13,400 28,800 35,800 55,800 28,800 126,000 92,000 $244,000 $170,000 $8,800 5,600 71,600 86,000 $12,800 1,600 80,600 95,000 Increase (Decrease) $20,000 (7,000) 27,000 34,000 $74,000 $(4,000) 4,000 (9,000) (9,000) 55,000 3,000 52,000 115,000 78,000 37,000 (12,000) (6,000) (6,000) 158,000 75,000 83,000 $244,000 $170,000 $74,000

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