Ace Builders Had the Following Transactions in June: Earned $4,000

question 122

Multiple Choice

Ace Builders had the following transactions in June: Earned $4,000 "on account;" collected $3,000 from a customer that was owed from a previous month; incurred $500 of repair expense and paid cash to the repairman; paid $1,200 to a supplier that it owed from the previous month; paid out $800 in cash drawings to the owner.
-How much was the Net income in June?

• A) $500
• B) $5,700
• C) $2,700
• D) $3,500

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Definitions:

Social Regulation

Rules imposed by government to correct market failures and improve the social welfare, often relating to health, safety, and the environment.

Economic Regulation

The imposition of rules by the government, aimed at modifying the natural behavior of the economy to achieve specific outcomes like protecting consumers or ensuring fair market competition.

Overregulation

A situation where excessive rules and regulations impede business operations, innovation, or personal freedoms.

Social Regulation

Regulations that aim to correct behaviors and practices affecting public interests, such as environmental protection, health, and safety standards.