[fascinatedlove]

I need help with how to determine net income loss. I do not remember what needs to be used to come up with the loss. Is it the balance sheet? Please help I have searched everywhere.

Cash 6130
Accts. Receivable 2300
Prepaid Expenses 750
Equipment 13400
Accumulated Depreciation 1200
Accts. Payable 1700
Notes Payable 5000
Capital Stock 12000
Divideneds 870
Fees earned 6600
Wages Expense 1450
Rent Expense 900
Utilities Expense 475
Depreciation Expense 150
Miscellaneous Expense 75

Totals equals 26500 on both sides

[Siphamandla]

Hi!
You first need to know the balance sheet iterms and the income statement iterms.Cash(bank),Accts rec,Prepaid Expenses, equipment, accumulated depriciation,accounts payable,notes payable,capital stock are the balance sheet iterms for this question. NOTE that we do not use dividends paid or declared when calculating our net profit/loss.When you are being asked to calculate the net loss or profit they are simply asking you to prepare the income statement. So here is one:
NAME OF THE BUSINESS
Income Statement for the period ended...
Revenue (Fees Earned) R6600
+other Incomes ------
Gross income R6600
-Expenses
Wages Expense (R1450)
Rent Expense (R900)
Utilisation Expenses (R475)
Depriciation Expense (R150)
Miscellaneous Expense (R75)
Net Profit/loss??
Now what you need to know is that the brackets means negetive in accounting. So take the R6600 and less all the amounts closed in brakets. If your answer comes out negetive then you had a net loss if the answer comes out positive then you have a net profit. However by the look of things it is more likely that you will have a positive answer impliying that you have a net profit and not a loss. Owever, don't worry. I can ussure you that everything is correct provided that you posted all the information in the question. Goodluck.