19 Effect of net income on a firm's balance sheet Conrad Air, Inc., reported net income of $1,374,000 for the year ended December 31, 2016. Show how Conrad's balance sheet would change from 2015 to 2016 depending on how Conrad "spent those earnings as described in the scenarios that appear below. a. Conrad paid no dividends during the year and invested the funds in marketable securities b. Conrad paid dividends totaling $603,000 and used the balance of the net income to retire (pay off, long-term debt. C. Conrad paid dividends totaling $503,000 and invested the balance of the net income in building a new hangar. d. Conrad paid out all $1,374,000 as dividends to its stockholders. a. If Conrad paid no dividends during the year and invested the funds in marketable securities, the amount transferred to the balance sheet will be $. (Round to the nearest dollar) The ending marketable securities will be $ . (Round to the nearest dollar.) The ending retained earnings will be $ (Round to the nearest dollar.) b. I Conrad paid dividends totaling $503,000 and used the balance of the net income to retire (pay off) long-term debt, the amount transferred to the balance sheet will be $. (Round to the nearest dollar) The ending long-term debt will be $(Round to the nearest dollar) The ending retained earnings will be $ (Round to the nearest dollar) Enter your answer in each of the answer boxes ? Calculator (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Conrad Air, Inc. Balance Sheet as of December 31, 2015 aid Assets Cash Marketable securities Accounts receivable Inventories ar ta Current assets $123,000 37,000 44.000 127,000 $331,000 $2,976,000 1,595,000 $4,571,000 $4,902.000 pal Equipment Buildings Fixed assets fer ong Total assets eta Liabilities and Stockholders' Equity Accounts navable SAR 000 nsy Print Done Inventories Current assets Equipment Buildings Fixed assets T27,000 $331,000 $2,976,000 1,595,000 $4,571,000 $4,902,000 Total assets Liabilities and Stockholders' Equity Accounts payable Short-term notes Current liabilities Long-term debt Total liabilities $66,000 58,000 $124,000 $2,701,000 $2,825,000 $495,000 1,582,000 $2,077,000 $4,902.000 Common stock Retained earnings Stockholders' equity Total liabilities and equity