QUESTION 1

Use the following information to answer questions 1 - 4:

At December 31, 2016, the accounting records of Hill Pool, Co. reflected the following:

Accounts Payable $ 10,100 Accounts Receivable 8,450

Retained Earnings 7,830 Supplies ` 2,350

Building 23,950 Cash 15,420

Notes Payable, due Jan 2018 10,240 Common Stock 20,000

Unearned Revenue 2,000

During January 2017, the following transactions occurred:

Jan 2 Issued 5,000 shares of common stock in exchange for $10,000

Jan 8 Paid creditors $2,500 of what was owed on account.

Jan 15 Repaired a pool and collected the fee of $1,800.

Jan 19 Performed a $500 repair job, which Hill had previously been paid for.

Jan 25 Collected $2,400 from customers on account.

Jan 28 Repaired a customers pool for $8,200. Billed the customer.

Jan 30 Declared and paid a cash dividend of $500.

Jan 30 Paid $2,000 for January wages.

Jan 30 Supplies on hand at the end of the month amount to $1,300.

Jan 30 Received a utility bill for $500 which will be paid next month.

QUESTION 3

The balance in the Cash account on January 31, 2017 is:

	A.	$24,620
	B.	$26,320
	C.	$26,820
	D.	$25,770
	E.	$25,770

1 points

QUESTION 4

What is net income for the month of January?

	A.	$16,350
	B.	$ 8,850
	C.	$ 6,950
	D.	$18,350
	E.	$ 5,850