GradNerd
Jun 30, 2009, 01:21 PM
During 2009, Stephens Corporation had an increase in total assets of $70,000 and an increase in total liabilities of $90,000. Assuming that capital stock increased by $5,000 and no dividends were paid, calculate Stephens’s net income or net loss for 2009.
Ok, I understand that you will take 90K-70K and get -$20k. However, I am unsure if capital stock adds or deducts from the net income or has no effect at all. Anyone have any ideas?
Ok, I understand that you will take 90K-70K and get -$20k. However, I am unsure if capital stock adds or deducts from the net income or has no effect at all. Anyone have any ideas?