Assume that you are the owner of Campus Connection, which specializes in items that interest students. At the end of January of the current year, you find (for January only) this information: a. Sales, per the cash register tapes, of $113,000, plus one sale on credit (a special situation) of $3,800. b. With the help of a friend (who majored in accounting), you determine that all of the goods sold during January cost $49,000 to purchase. c. During the month, according to the checkbook, you paid $46,000 for salaries, rent, supplies, advertising, and other expenses; however, you have not yet paid the $1,300 monthly utilities for January on the store and fixtures. Required: On the basis of the data given (disregard income taxes), what was the amount of net income for January?. (Hint: A convenient form to use has the following major side captions: Revenue from Sales, Expenses, and the differenceNet Income.) Net income $ 20,500 [The following information applies to the questions displayed below.] Martin Towing Company is at the end of its accounting year ending December 31. The following data that must be considered were developed from the company's records and related documents: a. On January 1 of the current year, the company purchased a new hauling van at a cash cost of $24,700. Depreciation estimated at $3,400 for the year has not been recorded for the current year. b. During the current year, office supplies amounting to $840 were purchased for cash and debited in full to Supplies. At the end of last year, the count of supplies remaining on hand was $310. The inventory of supplies counted on hand at the end of the current year was $420. C. On December 31 of the current year, Lanie's Garage completed repairs on one of the company's trucks at a cost of $1,200; the amount is not yet recorded by Martin and by agreement will be paid during January of next year. d. On December 31 of the current year, property taxes on land owned during the current year were estimated at $1,400. The taxes have not been recorded and will be paid in the next year when billed. December 31 of the current year, the company completed towing service for an out-of-state company for $7,700 payable by the customer within 30 days. No cash has been collected, and no journal entry has been made for this transaction. f. On July 1 of the current year, a three-year insurance premium on equipment in the amount of $1,080 was paid and debited in full to Prepaid Insurance on that date. Coverage began on July 1 of the current year. g. On October 1 of the current year, the company borrowed $7,200 from the local bank on a one-year, 12 percent note payable. The principal plus interest is payable at the end of 12 months. h. The income before any of the adjustments or income taxes was $32,000. The company's federal income tax rate is 30 percent. (Hint: Compute adjusted pre-tax income based on (a) through (g) to determine income tax expense.) e. Required: 1. Indicate whether each transaction relates to a deferred revenue, deferred expense, accrued revenue, or accrued expense. Transaction a. Deferred expense b. Deferred expense C. Accrued expense d. Accrued expense e. Accrued expense f. Deferred expense Accrued expense g. h. Accrued expense