[millie1475]

The company had the following assets and liabilities on the dates indicated.
December 31 Total Assets Total Liabilities
2013 $400,000 $250,000
2014 $460,000 $300,000
2015 $590,000 $400,000

The business began on January 1, 2013, with an investment of $100,000.
Instructions:
From an analysis of the change in owner's equity during the year, compute the net income (or loss) for:
a) 2013, assuming drawings were $15,000 for the year.
b) 2014, assuming it made an additional investment of $45,000 and had no drawings.
c) 2015, assuming it made an additional investment of $15,000 and had drawings of $25,000 in 2015.

[ma0641]

So, what do you think, we don't do homework for you.

[pready]

Start with the basic accounting equation, which is:
Assets = Liabilities + Owners Equity

You need to compute Owners Equity for each year, then account for the change between your amounts between 2013 to 2014 and from 2014 to 2015.

The change in owners equity is:
Ending Owners Equity = Beginning Owners Equity + Investments - Drawings + Net Income.

The Formula can be rewritten as:
Net Income = Ending Owners Equity - Beginning Owners Equity - Investments + Drawings