Jonathan started a business with the following transactions: 1.Invested $25,000 into the business. 2.Purchased supplies worth $3,000 on account. 3.Sold goods for $12,000; these goods cost $7,500. 4.Paid salaries of $1,500. What is Jonathan's net income after these transactions? A) $3,000 B) $4,500 C) $2,000 D) $2,500
Jonathan started a business with the following transactions: 1.Invested $25,000 into the business. 2.Purchased supplies worth $3,000 on account. 3.Sold goods for $12,000; these goods cost $7,500. 4.Paid salaries of $1,500. What is Jonathan's net income after these transactions? A) $3,000 B) $4,500 C) $2,000 D) $2,500
Chapter3: Income Sources
Section: Chapter Questions
Problem 79P
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What is Jonathan net income after these transactions?
Transcribed Image Text:Jonathan started a business with the following transactions:
1.Invested $25,000 into the business.
2.Purchased supplies worth $3,000 on account.
3.Sold goods for $12,000; these goods cost $7,500.
4.Paid salaries of $1,500.
What is Jonathan's net income after these transactions?
A) $3,000
B) $4,500
C) $2,000
D) $2,500
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