A corporation had the following assets and liabilities at the beginning and end of this year. Assets Liabilities Beginning of the year End of the year $119,000 165,000 $51,015 66,825 a. Owner made no investments in the business, and no dividends were paid during the year. b. Owner made no investments in the business, but dividends were $550 cash per month. c. No dividends were paid during the year, but the owner did invest an additional $45,000 cash in exchange for common stock. d. Dividends were $550 cash per month, and the owner invested an additional $35,000 cash in exchange for common stock. Determine net income or net loss for the business during the year for each of the above separate cases: (Decreases in equity should be indicated with a minus sign.) X Answer is complete but not entirely correct. a. b. d. Beginning of the year-Equity 67,985 O s 67,985 67,985 67,985 Owner investments 45,000 35,000 Dividend (6,600) O (6,600) O Net income (loss) 30,190 O 23,590 X (14,810) 1,790 End of the year-Equity 98,175 O s 98,175 98,175 98,175

A corporation had the following assets and liabilities at the beginning and end of this year. Assets Liabilities Beginning of the year End of the year $119,000 165,000 $51,015 66,825 a. Owner made no investments in the business, and no dividends were paid during the year. b. Owner made no investments in the business, but dividends were $550 cash per month. c. No dividends were paid during the year, but the owner did invest an additional $45,000 cash in exchange for common stock. d. Dividends were $550 cash per month, and the owner invested an additional $35,000 cash in exchange for common stock. Determine net income or net loss for the business during the year for each of the above separate cases: (Decreases in equity should be indicated with a minus sign.) X Answer is complete but not entirely correct. a. b. d. Beginning of the year-Equity 67,985 O s 67,985 67,985 67,985 Owner investments 45,000 35,000 Dividend (6,600) O (6,600) O Net income (loss) 30,190 O 23,590 X (14,810) 1,790 End of the year-Equity 98,175 O s 98,175 98,175 98,175

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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