Cianci accounting services had solve this accounting questions Cianci Accounting Services had $100,000 in gross receipts forthe year. It cost the company $35,000 to lease and operate itsoffices for the year. The company's landlord gave the companya $100 monthly discount in return for accounting services. Oneclient gave the company a computer with a retail price of $2,500and a fair market value of $2,000 in exchange for accountingservices. Based on these facts, what is the company's grossincome for the year?

Step 1: Define Gross IncomeGross income can be defined as the difference between sales and cost.…

Answered: Cianci Accounting Services had $100,000…

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter6: Business Expenses

Section: Chapter Questions

Problem 43P

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Bourne Company had a $150,000 beginning balance in Accounts Receivable and a $6,000 credit balance in the Allowance for Doubtful Accounts. During the year, credit sales were $ 600,000 and customers' accounts collected were $590, 000. Also, $4,000 in worthless accounts were written off. What was the net amount of receivables included in the current assets at the end of the year, before any provision was made for doubtful accounts? Select one: A. $120,000 B. $130, 000 C. $126,000 D. $154,000
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