ABC Services Reported the Following Transactions for September,2013

question 56

Essay

ABC Services reported the following transactions for September,2013.
A.The owner opened the business with a capital contribution of $23,500 cash.It was credited to Capital.
B.The business purchased office equipment for $11,500.The business paid $2,500 down and put the balance on a note payable.
C.The business paid a utility bill for $980 cash.
D.The business paid $2,000 cash for September rent.
E.The business had sales of $15,000 in September.Of these sales,60% were cash sales,and the balance was credit sales.
F.The business paid $9,700 cash for office furniture.
What is the net income for September,2013?
A)$12,020
B)$9,000
C)$6,020
D)$5,300

• A)$12,020
• B)$9,000
• C)$6,020
• D)$5,300

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Definitions:

Indefinite Period

A time frame without a specified end date, often used in contracts or employment agreements.

Security Deposit

A sum of money held in trust as protection against potential damage or default, typically paid by a tenant to a landlord.

Ordinary Wear

The natural and expected deterioration of an item over time due to normal and reasonable use.

Blatant Discrimination

Open, conspicuous, unashamed unfair treatment of individuals based on their race, gender, age, or other characteristics.