At the End of the First Month of Operations for Jackson's

question 88

Multiple Choice

At the end of the first month of operations for Jackson's Catering Service,the business had the following accounts: Cash,$19,000;Prepaid Rent,$500;Equipment,$5,000 and Accounts Payable $2,000.By the end of the month,Jackson's had earned $20,000 of Revenues,$1,000 of Utilities Expenses and $1,500 of Salaries Expenses.Calculate the net income to be reported by the company for this first month.

• A) $20,000
• B) $19,000
• C) $17,500
• D) $12,000

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Definitions:

Mucus

A slippery secretion produced by, and covering, mucous membranes primarily in the respiratory, digestive, and reproductive systems, aiding in protection and lubrication.

Muscle

Muscle is a tissue in animals that contracts to produce movement, consisting of smooth, skeletal, and cardiac types.

Nervous

Pertaining to the nerves or nervous system, the network in organisms for transmitting signals between different body parts.

Adipose Tissue

A type of connective tissue that is specialized in storing energy in the form of fat, also serving as an important insulator and cushion for bodily organs.