Cash Short-term investments Accounts receivable Supplies Prepaid expenses Office equipment Accumulated depreciation-office equipment $ 1,900 Accounts payable 410 Unearned revenue 3,570 Salaries Payable 150 Short-term note payable 4,720 Common stock ($1 par value) 1,530 Additional paid-in capital (480) Retained earnings $ 210 1,320 870 780 50 6,560 "This account has a credit balance representing the portion of the cost of the equipment used in the past. a. Received $9,500 cash for consulting services rendered. b. Issued 10 additional shares of common stock at a market price of $120 per share. 2,010 c. Purchased $640 of office equipment, paying 25 percent in cash and owing the rest on a short-term note. d. Received $890 from clients for consulting services to be performed in the next year. e. Bought $470 of supplies on account. f. Incurred and paid $1,800 in utilities for the current year. g. Consulted for clients in the current year for fees totaling $1,620, due from clients in the next year. h. Received $2,980 from clients paying on their accounts. i. Incurred $6,210 in salaries in the current year, paying $5,300 and owing the rest (to be paid next year). J. Purchased $1,230 in short-term investments and paid $800 for insurance coverage beginning in the next fiscal year. k. Received $10 in interest revenue earned in the current year on short-term investments. 4. What would net income be if Conover, Inc., used the cash basis of accounting? (Enter your answer in thousands, not in dollars.) Net income 58 E Next