Nelson Company Experienced the Following Transactions During Year 1, Its

question 40

Multiple Choice

Nelson Company experienced the following transactions during Year 1, its first year in operation.Issued $12,000 of common stock to stockholdersProvided $4,600 of services on accountPaid $3,200 cash for operating expensesCollected $3,800 of cash from accounts receivablePaid a $200 cash dividend to stockholders What is the net income that will be reported for Year 1?

• A) $1,400
• B) $800
• C) $1,000
• D) $1,200

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Definitions:

Low Avoidance

A characteristic of individuals who do not actively evade or try to prevent uncomfortable or negative situations.

Attachment Style

Patterns of behavior in relationships that are formed in early childhood and affect intimate relationships throughout life.

Two-Factor Theory

A theory in psychology that posits emotions are based on physiological arousal and cognitive labels.

Triangular Model

A theory in psychology, often referring to the Triangular Theory of Love, which describes love in terms of three components: intimacy, passion, and commitment.