Question

Charlie's Chocolates' had stock issuances of $52,000 and dividends of $21,000. The company has revenues of $85,000 and expenses of $65,000. Calculate its net income.

Answer 1

Answer: $20,000

Explanation:

Given that,

Charlie's Chocolates' had

Stock issuance = $52,000

Dividends = $21,000

Revenues = $85,000

Expenses = $65,000

Net income is calculated by subtracting expenses from revenues.

Net income = Revenues - Expenses

                   = $85,000 - $65,000

                   = $20,000

Charlie's Chocolates' net income is $20,000.