Can I get help with these question? Ill thumbs up if correct :). Thanks so much beforehand.
The Bubly, Inc. is a retail store that started in January 2018. Initial capital was acquired by issuing shares of common stock. The CFO, Emma, has kept the records below and asks for your help in calculating operating income for the year ended Dec. 31, 2018 Cash receipts (January 1 - December 31, 2018) From customers $484,800 From issuance of common stock 195,000 From bank loan 120,000 $799,800 Total Cash payments January 1 - December 31, 2018) Purchase of inventory $319,000 Utilities 49,000 Salaries 24,000 Total $392,000 . The bank loan was made on March 31, 2018. A note was signed requiring payment of interest and principal on March 31, 2019. The interest rate is 10% Inventory on hand at Dec 31, 2018 cost $119,000 The following amounts are owed by The Bubly at Dec. 31, 2018. - $39,000 to inventory suppliers $5,000 to employees for salaries The following amounts are due to The Bubly at Dec 31, 2018: . $12.000 from customers Lewis Company files a lawsuit against The Bubly for $10,000 in December 2018 alleging that Bubly infringed Lewis' patents of beverage ingredients. Experts think it is virtually certain that Bubly will eventually have to settle the suit, and the best estimate of the expected amount is $10,000 Determine operating income of The Bubly for the fiscal year ended on December 31, 2018 SA . 0 . and principal on March 31, 2019. The interest rate is 10%. Inventory on hand at Dec 31, 2018 cost $119,000. The following amounts are owed by The Bubly at Dec 31, 2018. $39,000 to inventory suppliers $5,000 to employees for salaries The following amounts are due to The Bubly at Dec. 31, 2018: $12,000 from customers Lewis Company files a lawsuit against The Bubly for $10,000 in December 2018 alleging that Bubly infringed Lewis' patents of beverage ingredients. Experts think it is virtually certain that Bubly will eventually have to settle the suit, and the best estimate of the expected amount is $10,000. Determine operating income of The Bubly for the fiscal year ended on December 31, 2018. . O $169,800 $160,800 $170,800 None of other answer choices is correct Bale, Inc. purchased a machine for $100,000 on January 1, 2016. Bale has depreciated the machine using the straight-line method assuming a 5-year useful life and no salvage value. Due to a change in sales patterns, on January 1, 2018, management updates the estimate of the machine's total useful life to 8 years and also updates salvage value to $6,000. What amount of depreciation expense should Bale record for depreciation expense on its 2018 Income Statement? $6,750 $10,000 $9,000 None of other answer choices is correct