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The following items are taken from the financial statements of Dinkel Company for the year ending December 31, 2010:

The following items are taken from the financial statements of Dinkel Company for the year ending December 31, 2010:

Accounts payable


$18,000

Accounts receivable


11,000

Accumulated depreciation - equipment


28,000

Advertising expense


21,000

Cash 15,000


15,000

Dinkel, Capital (1/1/10)


102,000

Dinkel, Drawing


14,000

Depreciation expense


12,000

Insurance expense


3,000

Note payable, due 6/30/11


70,000

Prepaid insurance (12-month policy)


6,000

Rent expense


17,000

Salaries expense


32,000

Service revenue


133,000

Supplies


4,000

Supplies expense


6,000

Equipment


210,000


What is the company’s net income for the year ending December 31, 2010?



$42,000



$12,000



$133,000



$28,000

Top Answer

Dear Student,... View the full answer

549301_ACC.doc

Net Revenue
Less: Expenses:
Supplies Expenses
Advertising Expenses
Insurance
Rent
Salaries
Depreciation
Net Income $133,000
6000
21,000
3000
17,000
32000
12000 Hence the answer is $42,000. $91,000...

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