Given the Trial Balance Amounts Below,compute Net Income

question 165

Multiple Choice

Given the trial balance amounts below,compute net income.
Common stock…….$120,000 Accounts payable…...$25,000
Cash………………..$116,640 Accounts receivable..$22,450
Supplies………........$ 1,500 Office equipment…...$23,300
Prepaid rent……….$ 3,200 Unearned revenue….$ 4,152
Service revenue…...$ 20,000 Utilities expense…....$ 422
Beginning Shaving equipment… $31,640
Retained earnings.$ 30,000

• A) $19,578
• B) $20,528
• C) $23,728
• D) $49,578
• E) $24,578

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Definitions:

Profit Objectives

Financial goals set by a company seeking to achieve a specific amount of profit over a certain period.

Target Return

A pricing strategy that sets the price point based on a predetermined return on investment or desired profit margin.

Profit Goal

A specific, quantifiable financial objective set by a business, aiming to achieve a particular level of profit within a defined period.

Pricing Objectives

Goals that a company wants to achieve through the pricing of its products, such as maximizing profit, increasing market share, or deterring competition.