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Dashing Car Repair Shop started the year with total assets of $60,000 and total liabilities of $40,000.?

During the year the business recorded $100,000 in car repair revenues, $55,000 in expenses, and dividends of $10,000.

 

The net income reported by Dashing Car Repair Shop for the year was:

a. $35,000.

b. $45,000.

c. $20,000.

d. $90,000.

e. none of the options listed 

Accounting Data Analysis Year End Close Fixed Assets Finance
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Question added by Mohammed Asim Nehal , M Asim Nehal & Co , Chartered Accountants
Date Posted: 2015/07/16
Upvote (2) Views (21) Followers (5) Answers (4) Report Question
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Saidul Alam
by Saidul Alam , Accountant , Akhtar Al Balushi Trad. & Cont. L.L.C

b.45000.........................

sk love

Profit = income - experience So answer is45000 b ☺

Said Shaban
by Said Shaban , Accountant , Tri State Materials Testing

The correct answer is A- $35,000

Gayasuddin Mohammed
by Gayasuddin Mohammed , Advocate , Practicing Law before High Court at Hyderabad

difference between business revenue recorded and the expenses for the year = $45,000/- option(B)

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