A business has the following transactions:The business is started by receiving cash from an investor in exchange for common stock $24,000.The business purchases supplies on account $600.The business purchases furniture on account $2,500.The business renders services to various clients on account totaling $8,000.The business pays salaries $2,200.The business pays this month’s rent $4,000.The business pays for the supplies purchased on account.The business collects from one of its clients for services rendered earlier in the month $1,800.What is total income for the month?Net income $_______ A business has the following transactions:• The business is started by receiving cash from an investor in exchange for common stock $24,000.• The business purchases supplies on account $600.• The business purchases furniture on account $2,500.• The business renders services to various clients on account totaling $8,000.• The business pays salaries $2,200.• The business pays this month's rent $4,000.• The business pays for the supplies purchased on account.• The business collects from one of its clients for services rendered earlier in the month $1,800.What is total income for the month?Net income $

Net Income can be calculated by substracting all the expenses from the service revenue earned by the company during the current period.

Answered: A business has the following…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A business has the following transactions:

The business is started by receiving cash from an investor in exchange for common stock $24,000.
The business purchases supplies on account $600.
The business purchases furniture on account $2,500.
The business renders services to various clients on account totaling $8,000.
The business pays salaries $2,200.
The business pays this month’s rent $4,000.
The business pays for the supplies purchased on account.
The business collects from one of its clients for services rendered earlier in the month $1,800.

What is total income for the month?

Net income $_______

A business has the following transactions:
• The business is started by receiving cash from an investor in exchange for common stock $24,000.
• The business purchases supplies on account $600.
• The business purchases furniture on account $2,500.
• The business renders services to various clients on account totaling $8,000.
• The business pays salaries $2,200.
• The business pays this month's rent $4,000.
• The business pays for the supplies purchased on account.
• The business collects from one of its clients for services rendered earlier in the month $1,800.
What is total income for the month?
Net income $

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