If I was given the Balance Sheet that included the following...
Cash 81,600
Accounts Receivalbe 31,300
Supplies 2,000
Accounts Payable 13,280
Capital Stock 15,000
HOW DO I FIND THE NET INCOME?
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If I was given the Balance Sheet that included the following...
Cash 81,600
Accounts Receivalbe 31,300
Supplies 2,000
Accounts Payable 13,280
Capital Stock 15,000
HOW DO I FIND THE NET INCOME?
Well as you might know Assets=Liabilities+Stockholders equity right? Net income is soposed to be closed out to the balance sheet, on the Stockholders equity side called Retained Earnings
So my assumption is that your teacher wants you to plug if that's the only information given..
So assets = 114,900
Liabilities+ SH Equity= 28,280
So you net the two to get the net income (114,900-28280) =86,620
So net income is 86,620
Get it?
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