S At the beginning of the current fiscal year, the balance sheet for Davis Company showed...

Transcribed Image Text:

S At the beginning of the current fiscal year, the balance sheet for Davis Company showed liabilities of $288,000. During the year, liabilities decreased by $16,200, assets Increased by $58,500, and paid-in capital increased from $27,000 to $172,800. Dividends declared and paid during the year were $22.500. At the end of the year, stockholders' equity totaled $386,100. Required: opped a. Calculate net income (or loss) for the year. Indicate the financial statement effect. eBook S At the beginning of the current fiscal year, the balance sheet for Davis Company showed liabilities of $288,000. During the year, liabilities decreased by $16,200, assets Increased by $58,500, and paid-in capital increased from $27,000 to $172,800. Dividends declared and paid during the year were $22.500. At the end of the year, stockholders' equity totaled $386,100. Required: opped a. Calculate net income (or loss) for the year. Indicate the financial statement effect. eBook