Use the Following Information for Questions 63-64 $\bullet$ Sales of $4,500 on Account

question 82

Multiple Choice

Use the following information for questions 63-64.
Lamb Company had the following transactions during 2010.
$\bullet$ Sales of $4,500 on account
$\bullet$ Collected $2,000 for services to be performed in 2011
$\bullet$ Paid $625 cash in salaries
$\bullet$ Purchased airline tickets for $250 in December for a trip to take place in 2011

-What is Lamb's 2010 net income using accrual accounting?

• A) $3,875
• B) $5,875
• C) $5,625
• D) $3,625

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Definitions:

Blood Pressure

The force exerted by circulating blood upon the walls of blood vessels, typically measured in the arteries and considered important for ensuring effective circulation of blood.

Arteries

Blood vessels that carry oxygenated blood away from the heart to the tissues of the body.

Vasodilate

The expansion of blood vessels that lowers blood pressure and enhances the flow of blood.

Sarcoplasmic Reticulum

A specialized type of smooth endoplasmic reticulum found in muscle cells, which stores and releases calcium ions to trigger muscle contraction.