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Condensed financial data of McKillop Corporation appear below:

MCKILLOP CORPORATION

Comparative Statements of Financial Position December 31

Assets

	2022	2021
Cash ...........................................................................................	$ 74,700	$ 35,000
Accounts receivable ....................................................................	104,000	67,000
Inventory .....................................................................................	100,000	112,000
Prepaid expenses .......................................................................	32,000	36,000
Long-term investments................................................................	81,000	66,000
Property, plant, and equipment ...................................................	235,000	175,000
Accumulated depreciation ...........................................................	(65,000)	(60,000)
Total.....................................................................................	$561,700	$431,000

Liabilities and Shareholders' Equity

Accounts payable........................................................................ $ 101,000	$ 75,000
Salaries payable ......................................................................... 21,000	24,000
Bank Loan Payable (long-term) 135,000	160,000
Common shares 240,000	91,000
Retained earnings 64,700	81,000
Total $561,700	$431,000

MCKILLOP CORPORATION

Statement of Income

Year Ended December 31, 2022

Sales...........................................................................................		$500,000
Expenses
Cost of goods sold ...............................................................	$295,000
Operating expenses .............................................................	65,000
Depreciation expense ..........................................................	17,000
Interest expense...................................................................	18,000
Loss on sale of equipment ...................................................	3,000	398,000
Income before income tax ...........................................................		102,000
Income tax expense ....................................................................		15,300
Net income..................................................................................		$ 86,700

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