Google Translate Fair Value - Definition and Advantages of Fair Value.... Search Teams call O . .docx w Edit in Browser Download Save to OneDrive Homework Chapter 2 La Accessibility Mode be Prin Exercise 3 During the course of your examination of the financial statements of the Haley Sporting Goods Corporation for the year ended December 31, 2018, you discover the following: a. Net income reported in the 2018 income statement is $42,000 before reflecting any of the following items. b. On November 1, 2018, S6,000 was paid for rent on the company's office building. The payment covered the three-month period ending January 31, 2019. The entire amount was debited to rent expense and no adjusting entry was recorded for this item. c. During 2018, the company received a $5,000 cash advance from a customer for merchandise to be manufactured and shipped in 2019. The $5,000 was credited to sales revenue. No entry was recorded for the cost of the merchandise. d. Haley borrowed $30,000 from a local bank on September 1, 2018. Principal and interest at 10% will be paid on August 31, 2019. No accrual was recorded for interest. e. There were no supplies listed in the balance sheet under assets. However, you discover that supplies costing $1,200 were on hand at December 31. Required: Determine the proper amount of net income for 2018. Hint: Start with income figure of $42,000 and perform any adjustments to this amount based on the above- mentioned situations. The beginning of the Academ. Fri 10/15 Our Dearest Students. Hope this email fi