Following Is a List of Account Balances of Lincoln Lawn

question 50

Multiple Choice

Following is a list of account balances of Lincoln Lawn Services as of December 31,after the first year of operations. $$\begin{array} { | l | r | } \hline \text { Accounts Receivable } & \$ 7,000 \\\hline \text { Accounts Payable } & 6,000 \\\hline \text { Salaries Expense } & 6,000 \\\hline \text { Repairs Expense } & 900 \\\hline \text { Truck } & 8,000 \\\hline \text { Equipment } & 11,000 \\\hline \text { Notes Payable } & 26,000 \\\hline \text { Cash } & 8,000 \\\hline \text { Supplies Expense } & 11,000 \\\hline \text { Service Revenue } & 26,000 \\\hline \text { Gasoline Expense } & 7,500 \\\hline \text { Salaries Payable } & 1,200 \\\hline\end{array}$$ Calculate the net income.

• A) $600
• B) $32,500
• C) $1,000
• D) $33,500

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Definitions:

Conservation

In cognitive development, the understanding that an object's or substance's quantity remains the same despite changes in its shape or form.

Appearance-Reality

A cognitive development concept referring to the ability to differentiate between what something appears to be and what it actually is.

Sociocultural Theory

Vygotsky’s theory that individuals acquire culturally relevant ways of thinking through social interactions with members of their culture.

Collaborating

The act of working together with one or more people to achieve a common goal or complete a task.