Question
Phone Co. reported the following account balances (in thousands): Administrative expenses $66,000 Accounts receivable 140,000 Sales revenue 690,000 Selling expenses 44,000 Cost of goods sold
Phone Co. reported the following account balances (in thousands):
Administrative expenses | $66,000 |
Accounts receivable | 140,000 |
Sales revenue | 690,000 |
Selling expenses | 44,000 |
Cost of goods sold | 425,000 |
Cash dividends paid | 80,000 |
How much is net income for Phone Co.?
Select one:
a. 45,000
b. 125,000
c. 265,000
d. 155,000
Copy Co. opened a new business location on April 1. During April, Copy Co. sold $150,000 of copies for cash along with $280,000 of copies on account to customers. Payments collected from these customers amounted to $212,000 during April, with the balance to be collected during May
How much revenue should Copy Co. report on its April income statement?
Select one:
a. 150,000
b. 430,000
c. 280,000
d. 212,000
Modern Resorts received $72,000 cash from its investors in exchange for shares of the companys stock.
During the same year, Modern received cash from customers for hotel rooms totaling $820,000, and distributed cash dividends to shareholders totaling $100,000.
How much is the net effect of the three events on the companys income statement?
Select one:
a. 720,000
b. 820,000
c. 748,000
d. 638,000
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