Question

Use the adjusted trial balance for Stockton Company to answer the question that follow. Stockton Company Adjusted Trial Balance December 31 Cash 6,553 Accounts Receivable 2,432 Prepaid Expenses 669 Equipment 13,951 Accumulated Depreciation 1,321 Accounts Payable 1,705 Notes Payable 5,197 Bob Steely, Capital 13,437 Bob Steely, Withdrawals 623 Fees Earned 7,304 Wages Expense 3,335 Rent Expense 844 Utilities Expense 330 Depreciation Expense 160 Miscellaneous Expense 67 Totals 28,964 28,964 Determine the net income (loss) for the period. net loss $6,233 net loss $2,568 net income $2,568 net income $28,964

Answer 1

Answer:

net income $2,568

Explanation:

Net income = revenues - expense

We will list the revenues and the expenses accounts:

       Fees Earned                      7,304

Wages Expense          3,335

Rent Expense                 844

Utilities Expense            330

Depreciation Expense   160

Miscellaneous Expense  67

Total expenses           4,736

Net Income                            2,568