Rivertown Traders began the year by issuing $85,000 of common stock for cash. During the year, the company earned revenues of $950,000 and incurred total expenses of $790,000. It also paid dividends totaling $60,000. What is the net income for the year?

Rivertown Traders began the year by issuing $85,000 of common stock for cash. During the year, the company earned revenues of $950,000 and incurred total expenses of $790,000. It also paid dividends totaling $60,000. What is the net income for the year?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 22EB: Errol Corporation earned net income of $200,000 this year. The company began the year with 10,000...

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Question

I am looking for the correct answer to this general accounting question with appropriate explanations.

Rivertown Traders began the year by issuing
$85,000 of common stock for cash. During the
year, the company earned revenues of $950,000
and incurred total expenses of $790,000. It also
paid dividends totaling $60,000. What is the net
income for the year?

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