Net Income Is Reported on the Income Statement at $30,000

question 62

Multiple Choice

Net income is reported on the income statement at $30,000. Adjusting entries for accrued revenues of $2,000 and unearned revenue earned during the current period of $5,500 were accidentally omitted. The correct net income is:

• A)$22,500.
• B)$37,500.
• C)$33,500.
• D)$26,500.

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Definitions:

Culture

The set of shared attitudes, values, goals, and practices that characterizes an institution, organization, or group.

Cultural Survival Kit

The essential beliefs, practices, symbols, and knowledge that a culture relies on for survival and maintaining its identity.

Production

Is the human capacity to make and use tools. It improves our ability to take what we want from nature.

Abstraction

The human capacity to create general ideas, or ways of thinking that are not linked to particular instances. For example, languages, mathematical notations, and signs allow us to classify experience and generalize from it.