Lita Lopez started Biz Consulting, a new business, and completed the following transactions during its first year of operations.

1. Lita Lopez invested $61,000 cash and office equipment valued at $33,000 in the company in exchange for its common stock.
2. The company purchased a $309,000 building to use as an office. Biz Consulting paid $44,000 in cash and signed a note payable promising to pay the $265,000 balance over the next 10 years.
3. The company purchased office equipment for $5,900 cash.
4. The company purchased $3,400 of office supplies and $1,400 of office equipment on credit.
5. The company paid a local newspaper $840 cash for printing an announcement of the offices opening.
6. The company completed a financial plan for a client and billed that client $4,200 for the service.
7. The company designed a financial plan for another client and immediately collected a $9,000 cash fee.
8. The company paid $1,000 cash in dividends to the owner (sole shareholder).
9. The company received $3,200 cash as partial payment from the client described in transaction f.
10. The company made a partial payment of $700 cash on the equipment purchased in transaction d.
11. The company paid $2,300 cash for the office secretarys wages for this period.

Equity Accounts Receivable + Assets Office Supplies Liabilities Accounts Notes Payable + Payable Common Stock + Office Equipment + $ 33.000 + + Building + - Dividends + Cash 61,000 + Revenues - Expenses a. s + + = + + + b + + + + + + Ball 61,000 + 122,000 + + ol + 0 + 0 = ol + 0 + 0 - 0 + 0- 0 + c. + + 33.000 + 5.900 + 38,900 + + + Bal. 122,000 + 0 + 0 + 0 = 0 + 0 + 0 - 0 + 0 - 0 + + + + 3,400 + 3,400 + 1.400 + 40,300 + = 01 = Ba 122,000 + 0 + 0 + 0 + 0 - 01 + 0 - 0 e + + + = + + Bal ol + 40,300 + 0 = 0 + 0 - 01 + 0 - 0 122,000 + + f. + + 3,400 + + 3.400 + + + Bal 122,000 + 0 + 40.300 + 0 = 0 + + 0 + + ol + 0 - + 0 + + + 0 + 0 + + 0 g + + + + 40,300 + 0 - - 0 - Ba 122,000 + 0 + 3,400 + 0 = 0 - 0 + 0 h. + + + + = + + 700 + 7000 + Bal ol + 40,300 + 0] = 0 + 0 - 01 + 0 - 0 122,000 + + 3.400 + + i. + + = + + Bal. 122,000 + 0 + 0 = 700 + 0 + 0 - 0 + 0- 0 40,300 + + + + + + j. Ba + 0 + 3,400 + + 3.400 + + 3.400 + $ - 0- 122,000 + 40,300 + 0 = 700 + 0 + 0 + + 0 k. = 0 = $ + 700 + 5 + 01 + $ 0 - - 1 0 - 5 Bal $ 122,000 + S 0 + $ 40,300 + $ 0 + $ 01 - $ 0 3. Determine the company's net income. Net income