Question
X Company, a merchandiser, started business on June 1. The following were June transactions: Received $83,000 from a group of investors. Bought $8,900 of merchandise,
X Company, a merchandiser, started business on June 1. The following were June transactions:
Received $83,000 from a group of investors.
Bought $8,900 of merchandise, $3,665 for cash and $5,235 on account.
Sold merchandise for $22,000, of which $17,309 was for cash and $4,691 was on account; Cost of Goods Sold was 56% of sales.
Paid $3,051 to suppliers for merchandise previously bought on account.
Paid wages of $5,600.
Collected $2,958 from customers on account.
Paid $5,700 for rent in advance.
4. What were total liabilities on June 30?
A: $1,339 | B: $1,514 | C: $1,710 | D: $1,933 | E: $2,184 | F: $2,468 |
Tries 0/99 |
5. What were total assets on June 30?
A: $89,264 | B: $100,868 | C: $113,981 | D: $128,799 | E: $145,543 | F: $164,463 |
Tries 0/99 |
6. What was net income in June [ignore adusting entries]?
A: $1,941 | B: $2,814 | C: $4,080 | D: $5,916 | E: $8,578 | F: $12,438 |
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