The Following Financial Data Relates to Bonbela Corp,which Has Pledged

Essay

The following financial data relates to Bonbela Corp,which has pledged all of its property,plant and equipment as security for its long-term notes payable:
Bonbela Corp
Income Statement Information
For the year ended December 31, 2020
$\begin{array}{|l|r|}\hline \text { Sales (all on credit) } & \$ 550,000 \\\hline \text { Cost of goods sold } & 234,500 \\\hline\\\hline \text { Operating income } & 98,200 \\\hline \text { Interest expense } & 13,400 \\\hline\\\hline \text { Income before taxes } & 88,900 \\\hline \text { Income tax expense } & 24,200 \\\hline \text { Net income } & 56,500 \\\hline\end{array}$