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  • Oct 3, 2010, 02:03 PM
    asholeee
    Finding net income with assets and liabilities from pervious year, asstes and liabili
    I have Assets for December(2008) as 25740, liabilities as 18018. Assets for December(2009) 25920 and liabilities as 17625. During 2000 stock issuances as 1400 and cash dividends as 2000. I need to find the net income or loss. Any help?
  • Oct 4, 2010, 04:39 AM
    ArcSine
    Assets minus Liabilities = Equity. Use that to determine Equity as of Dec '08 and Dec '09, and hence the overall change in Equity over that one-year period.

    That overall change in Equity is the result of Stock Issuances, Dividends, and Net Income or Loss. You have the amounts for the first two. Net Income is thus the part of Equity's change that isn't explained by the first two.

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