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Cash	244000
Cash Equivalents	65000
Accounts Receivable	195000
Allowance for Doubtful Accounts	2500
Short-Term Investments	240000
Merchandise Inventory	285000
Supplies Inventory	25000
Prepaid Rent	90000
Prepaid Insurance	0
Long-Term Investment (60% ownership)	360000
Land for Future Expansion	400000
Debt Service Fund	950000
Land	400000
Machinery & Equipment	4600000
Buildings	3100000
Accumulated Depreciation		542500
Patents	245000
Copyright	123000
Goodwill	75000
Trademark	135000
Derivatives	50000
Deferred Tax Assets	240000
Deferred Pension Assets	230000
Accounts Payable		175000
Income Taxes Payable		95000
Sales Taxes Payable		34000
Dividends Payable		0
Interest Payable		14000
Notes Payable (8% interest rate)		1000000
Mortgage Payable (5% interest rate)		850000
Bonds Payable (6% interest rate)		2500000
Common Stock (1,000,000 shares outstanding)		1000000
Preferred Stock (4%)		500000
Paid-in Capital in Excess of Par - Common		1800000
Paid-in Capital in Excess of Par - Preferred		200000
Retained Earnings
Accumulated Other Comprehensive Income		29000
Sales Revenue		9800000
Sales Returns & Allowances	37000
Sales Discounts	56000
Cost of Goods Sold	3517000
Selling Expense	482200
General Administrative Expense	2120000
Rent Expense	0
Insurance Expense	136000
Research and Development Expense	120000
Impairment Expense	0
Bad Debts Expense	0
Interest Revenue		22000
Dividend Revenue		35000
Other Expense
Interest Expense	95000
Income Tax Expense	0
Gain / Loss on Derivatives	0	0
Gain on Sale of investments		44200
Loss on Sale of Machinery	23000
TOTALS	18640700	18640700

1. Extend, and complete the worksheet and determine net income BEFORE computing income tax expense (Part 14 below). Then create the journal entry for income tax expense, record the entry in the general journal and on the worksheet, extend the amount, and recompute net income.
2. Prepare the combined statement of income and other comprehensive income. Assume that the number of common shares outstanding has not changed from the beginning to the end of the year. Prepare this statement by hand in in perfect form.

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