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Below are the year-end balance sheets for LowellEnterprises:Assets:20182017Cash$ 200,000$ 170,000Accounts receivable864,000700,000Inventories2,000,0001,400,000 Total current assets$3,064,000$2,270,000Net fixed assets6,000,0005,600,000Total assets$9,064,000$7,870,000Liabilities and equity:Accounts payable$1,400,000$1,090,000Notes payable1,600,0001,800,000 Total current liabilities$3,000,000$2,890,000Long-term debt2,400,0002,400,000Common stock3,000,0002,000,000Retained earnings 664,000 580,000 Total common equity$3,664,000$2,580,000Total liabilities and equity$9,064,000$7,870,000Lowell has never paid a dividend on its common stock, and it issued$2,400,000 of 10-year non-callable, long-term debt in 2017. As ofthe end of 2018, none of the principal on this debt had beenrepaid. Assume that the company's sales in 2017 and 2018 were thesame. Which of the following statements must be CORRECT?Lowell increased its short-term bank debt in 2018.Lowell issued long-term debt in 2018.Lowell issued new common stock in 2018.Lowell repurchased some common stock in 2018.Lowell had negative net income in 2018.