O’Brien Corporation’s income statement for the year ended December 31, 2012, and its comparative balances sheets as of December 31, 2012 and 2011, are presented on the next page. During 2012, O’Brien Corporation engaged in these transactions:

(a) Sold at a gain of $3,500 furniture and fixture that cost $17,800, on which it had accumulated depreciation of $14,400.

(b) Purchased furniture and fixtures in the amount of $19,800.

(c) Paid a $10,000 note payable and borrowed $20,000 on a new note.

(d) Converted bonds payable in the amount of $50,000 into 2,000 shares of common stock.

(e) Declared and paid $3,000 in cash dividends.

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