Nikonowicz Enterprises Experienced the Following Events During 2012,its First Year

question 126

Multiple Choice

Nikonowicz Enterprises experienced the following events during 2012,its first year in operation: The business acquired $10,000 cash by issuing common stock to investors.
The business purchased land for $6,000 cash.
Services were provided to customers for $8,000 cash.
Services were provided to customers for $3,000 on account.
Operating expenses of $5,000 were incurred and paid in cash.
Operating expenses of $2,000 were incurred on account.
A dividend of $1,000 was paid to the owners of Nikonowicz Enterprises.
Based on this information,the amount of retained earnings as of December 31,2012,was

• A) $1,000.
• B) $3,000.
• C) $5,000.
• D) $11,000.

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Definitions:

Brightly Lit

Describes an environment or space that is well-illuminated with light, either natural or artificial.

Cool Temperature

A temperature that is lower than the average room temperature, often perceived as refreshing or chilly.

Urea

A waste product formed in the liver, dissolved in blood, and secreted by the kidneys in urine.

Amino Acids

Amino acids are organic compounds that combine to form proteins, serving as the building blocks of life with crucial roles in metabolism.