1.The following items were taken from the records of Anasonic Corporation for the month of October.

Sales revenue	$620,000
Salaries expense	80,000
Capital stock issued	140,000
Cost of goods sold	335,000
Service revenues	55,000
Rental expense	45,000
Repairs and maintenance expense	54,000
Retained earnings, October 1	230,000
Accounts payable	40,000
Taxes expense	30,000
Dividends declared and paid	13,000

Compute NET INCOME for October.

• $118,000
• $131,000
• $218,000
• $258,000

2.Using the following information, compute the ENDING cash balance for the year.

Cash balance, beginning $1,500

Cash paid to purchase inventory 7,800

Cash received from sale of a building 5,600

Cash paid for interest 450

Cash paid to repay a loan 1,000

Cash collected from customers 10,000

Cash received from issuance of new shares of common stock 1,200

Cash paid for dividends 780

Cash paid for income taxes 1,320

Cash paid to purchase machinery 1,950

• $4,570
• $4,420
• $6,000
• $3,800
• $5,000

3.The following list of items is for Company N.

Cash	5,600
Inventory	14,000
Unearned Revenue	2,400
Paid-in Capital	4,000
Retained Earnings (ending)	13,200

Compute TOTAL STOCKHOLDERS EQUITY.

• $19,600
• $17,200
• $42,800
• $29,600
• $23,600