The following is the adjusted trial balance for Stockton Company.Stockton CompanyAdjusted Trial BalanceDecember 31Cash5,703Accounts Receivable2,850Prepaid Expenses696Equipment14,406Accumulated Depreciation10,590Accounts Payable1,436Notes Payable5,117Common Stock1,000Retained Earnings2,417Dividends610Fees Earned7,599Wages Expense2,325Rent Expense808Utilities Expense421Depreciation Expense226Miscellaneous Expense114Totals28,15928,159Determine the net income (loss) for the period.Oa. Net income $3,095Ob. Net loss $3,095Oc. Net loss $3,705Od. Net income $3,705

Solution: - Computation of the net income(loss) for the period (Stockton company): -

Answered: Determine the net income (loss) for the…

Determine the net income (loss) for the period. Oa. Net income $3,095 Ob. Net loss $3,095 Oc. Net loss $3,705 Od. Net income $3,705

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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Question

The following is the adjusted trial balance for Stockton Company.
Stockton Company
Adjusted Trial Balance
December 31
Cash
5,703
Accounts Receivable
2,850
Prepaid Expenses
696
Equipment
14,406
Accumulated Depreciation
10,590
Accounts Payable
1,436
Notes Payable
5,117
Common Stock
1,000
Retained Earnings
2,417
Dividends
610
Fees Earned
7,599
Wages Expense
2,325
Rent Expense
808
Utilities Expense
421
Depreciation Expense
226
Miscellaneous Expense
114
Totals
28,159
28,159
Determine the net income (loss) for the period.
Oa. Net income $3,095
Ob. Net loss $3,095
Oc. Net loss $3,705
Od. Net income $3,705

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